Archive for August, 2016

FX

Thursday, August 25th, 2016

Via Kit Juckes at SocGen: <http://www.sgmarkets.com/r/?id=h1133ae0a,181809ac,181809ad&p1=136122&p2=fe7fdb38a6093339e883ca12244848f1> Oil prices are marginally higher, Treasury yields are marginally lower, Chinese equities have fallen overnight and in FX, it's ranges everywhere, though upward guidance on milk prices has AUD/NZD testing the bottom of its range. If markets are waiting for Jackson Hole the good news is ...

Reform in Italy

Wednesday, August 24th, 2016

This essay posits that a referendum in Italy this fall is more important than the Brexit vote in UK. Via Nick Andrews and Stefano Capacci: Renzi’s Great Gamble By Nick Andrews and Stefano Capacci August 24, 2016 Prime ministers come and go in Italy – four since the financial crisis – but precious little seems ...

Existing Home Sales

Wednesday, August 24th, 2016

Via Stephen Stanley at Amherst Pierpont Securities: Existing home sales pulled back somewhat in July to a weaker-than-expected 5.39 million unit annualized pace, consistent with the pending home sales figures for June.  Given that June’s reading was a post-bust high and that the July pace still compares quite favorably with 2015’s ...

Overnight Data Preview

Wednesday, August 24th, 2016

Via Robert Sinche at Amherst Pierpont Securities: S. KOREA: Data on Household Credit for 2Q will be monitored to see if lower rates are sparking faster borrowing growth; household debt levels are often a concern for the S. Korean economy. HONG KONG: The Bberg consensus expects Export growth to slide to -2.1% ...

Credit Pipeline

Wednesday, August 24th, 2016

Via Bloomberg: IG CREDIT PIPELINE: SEK to Price Today, DBJJP Tomorrow 2016-08-24 09:35:02.278 GMT By Robert Elson (Bloomberg) -- Set to price today * Swedish Export Credit (SEK) Aa1/AA+, to price $bench Global 3Y, via managers C/JPM/Nom/RBC; guidance MS +18 area * Expected to price Thursday * Development Bank of Japan (DBJJP) A1/A+, to price 2-part 144a/Reg-S deal, via ...

Regional Hawks

Tuesday, August 23rd, 2016

Via Bloomberg: Fed’s Regional Bank Boards Increase Pressure for Rate Hike (1) 2016-08-23 19:07:25.335 GMT By Christopher Condon (Bloomberg) -- The boards of directors at eight of the 12 regional Federal Reserve banks sought last month to increase the rate on direct loans from the Fed to 1.25 percent from 1 percent, according to details released by ...

JPMorgan Duration Survey

Tuesday, August 23rd, 2016

Via Bloomberg: JPMorgan Treasury All-Client, Active Surveys Remain Net Long 2016-08-23 11:26:51.214 GMT By Stephen Spratt (Bloomberg) -- In week ended Aug. 22, all-client survey continues to show net longs, now around 14 percentage points longer than its 1 yr average. * Active client survey also remains net long by 14 percentage points; neutrals rise, erasing last month’s ...

Tight Range in Stocks Too

Tuesday, August 23rd, 2016

This via Chris Low at FTN Financial: Yesterday, the Dow dropped 23 points, or 0.12%. That would not normally be noteworthy, except it marked the end of the quietest period in US stocks in 21 years. As the WSJ notes, only five of the past 30 days saw the S&P 500 ...

Tight Range in Treasuries

Tuesday, August 23rd, 2016

Thanks to Steve Feiss (@stevefeiss)at Government Perspective for the heads up on this one. Via Bloomberg: August 22, 2016 — 10:57 PM EDT Updated on August 23, 2016 — 4:27 AM EDT Traders wait for policy clues when Fed chief speaks Aug. 26 Futures pricing shows odds of rate increase this year at 51%   Treasury 10-year ...

Some Corporate Bond Stuff

Tuesday, August 23rd, 2016

Via Bloomberg: IG CREDIT: Spreads Ease Back From Tightest Levels of the Year 2016-08-23 10:25:14.960 GMT By Robert Elson (Bloomberg) -- Secondary IG trading ended with a Trace count of $10.3b vs $9b Friday, $11.5b the previous Monday. 10- DMA $13.5b. * 144a trading added $1.3b of IG volume vs $966m Friday, $1.3b last Monday * The most active ...