Casualties Start to Mount In Bondland
For Bernanke and QE 3 (the MBS strand) there was only good news in Q1 ’13 GDP. Residential housing “investment”, i.e., housing-related construction, was revised upward to a 14% growth rate from 12.1%....
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Woe the ‘Dollar’
It seems Charles Dickens had a flair for 21st century economics all the way back in the 19th century. Writing in his book Little Dorrit (thanks to W Krauss for the reminder) he observed that credit...
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Not My Euphoria
In its 84th Annual Report released last June, the Bank for International Settlements departed from usual central bankish conventions and decried the growing departure from market discipline and even...
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The ‘Dollar’ Does Disturb Junk
Stocks may be ignoring the “dollar” and liquidity more broadly (at least as far as repurchases are concerned) but the continued stress in the eurodollar world has had an accumulating effect in some...
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If The Corporate Bubble Doesn’t Do Much On The Way Up, It Will In The Other...
The update to the S&P/LSTA Leveraged Loan Index was pretty much as expected following the interpretations I suggested Friday. Despite the alleviation of direct “dollar” pressure on liquidity...
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Is The ‘Dollar’ Missing Something This Week?
It has certainly been much calmer in October so far, especially compared with the deep deviations following the FOMC’s lack of activity. Stocks have rallied since October 1 along with many commodities,...
View ArticleClik here to view.
Math Is Money: Tracking Through Swap Spread Possibilities
As banks have trickled out their third quarter balance sheet filings, we gain more insight into the events of that quarter as well as some additional color as to the ongoing drama of the current one....
View ArticleClik here to view.
The Wrong Kind of Fertile Ground
On December 11, 2014, spot WTI closed at $60.01, down sharply from $76.52 the week before that Thanksgiving. In the space of only a few weeks, oil prices had collapsed far more than anyone thought...
View ArticleClik here to view.
Risk Reset
If there is a shift in the credit scheme of the junk bond bubble of late, the reduced volume in issuance would suggest why. While issuance, including high yield and leveraged loans, has been volatile...
View ArticleClik here to view.
Rough Contours of Bond Cycle Implications
The fallout in liquidity and funding markets (subscription required) has been mostly suggested at the junk bond bubble. Prices have fallen, and many precipitously, while yields have risen. But those...
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Direct Line of Funding Warnings Show Up In Corporate Credit, Particularly IG
One of the consequences of last year’s junk bond blowup was, unsurprisingly, a dramatic decline in high yield gross issuance. The numbers were pretty stark. According to SIFMA, high yield gross...
View ArticleClik here to view.
Woe the ‘Dollar’
It seems Charles Dickens had a flair for 21st century economics all the way back in the 19th century. Writing in his book Little Dorrit (thanks to W Krauss for the reminder) he observed that credit...
View ArticleClik here to view.
Not My Euphoria
In its 84th Annual Report released last June, the Bank for International Settlements departed from usual central bankish conventions and decried the growing departure from market discipline and even...
View ArticleClik here to view.
The ‘Dollar’ Does Disturb Junk
Stocks may be ignoring the “dollar” and liquidity more broadly (at least as far as repurchases are concerned) but the continued stress in the eurodollar world has had an accumulating effect in some...
View ArticleClik here to view.
If The Corporate Bubble Doesn’t Do Much On The Way Up, It Will In The Other...
The update to the S&P/LSTA Leveraged Loan Index was pretty much as expected following the interpretations I suggested Friday. Despite the alleviation of direct “dollar” pressure on liquidity...
View ArticleClik here to view.
Is The ‘Dollar’ Missing Something This Week?
It has certainly been much calmer in October so far, especially compared with the deep deviations following the FOMC’s lack of activity. Stocks have rallied since October 1 along with many commodities,...
View ArticleClik here to view.
Math Is Money: Tracking Through Swap Spread Possibilities
As banks have trickled out their third quarter balance sheet filings, we gain more insight into the events of that quarter as well as some additional color as to the ongoing drama of the current one....
View ArticleClik here to view.
The Wrong Kind of Fertile Ground
On December 11, 2014, spot WTI closed at $60.01, down sharply from $76.52 the week before that Thanksgiving. In the space of only a few weeks, oil prices had collapsed far more than anyone thought...
View ArticleClik here to view.
Risk Reset
If there is a shift in the credit scheme of the junk bond bubble of late, the reduced volume in issuance would suggest why. While issuance, including high yield and leveraged loans, has been volatile...
View ArticleClik here to view.
Rough Contours of Bond Cycle Implications
The fallout in liquidity and funding markets (subscription required) has been mostly suggested at the junk bond bubble. Prices have fallen, and many precipitously, while yields have risen. But those...
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