Archive - Apr 23, 2009

Spreads were tighter in the US today as all the indices improved. Indices typically underperformed single-names with skews mostly narrower as IG underperformed but narrowed the skew, HVOL underperformed but narrowed the skew, ExHVOL intrinsics beat and narrowed the skew, XO underperformed but compressed the skew, and HY outperformed but narrowed the skew.

Presented without commentary

Treasury Department Issues Emergency Recall Of All US Dollars

Presented without commentary

Treasury Department Issues Emergency Recall Of All US Dollars

Developing story out of the NYT.

The Treasury Department is preparing a Chapter 11 bankruptcy filing for Chrysler that could come as soon as next week, people with direct knowledge of the action said Thursday.

Nothing like purchasing a major investment bank on the verge of bankruptcy with no due diligence (actually Ken Lewis would beg to differ). The Fed has reported a loss of 28% on its commercial mortgage loans and 38% on residential mortgage loans as a result of its participation in Maiden Lane, the Bear Stearns bail out vehicle.

Nothing like purchasing a major investment bank on the verge of bankruptcy with no due diligence (actually Ken Lewis would beg to differ). The Fed has reported a loss of 28% on its commercial mortgage loans and 38% on residential mortgage loans as a result of its participation in Maiden Lane, the Bear Stearns bail out vehicle.

S&P is out with a report which basically says car scrappage will be the new black... At least for autos. From a report just released, S&P sees a 13.6 million SAAR... in 2011!

Global Downturn In Auto And Truck Industries To Continue Through 2009, Reports Say

Well, this just gets deeper and deeper. Before we proceed with the rest of the article, it's important to note that there currently isn't really a significant amount of room for copper to fall. However, as we dig through the details an inconsistent picture emerges.

Well, this just gets deeper and deeper. Before we proceed with the rest of the article, it's important to note that there currently isn't really a significant amount of room for copper to fall. However, as we dig through the details an inconsistent picture emerges.

Continuing the educational series of trading circuit breakers, today I present the data on when Goldman Sachs may finally be prohibited from mass funnelling in and out of the NYSE program market. The answer is: Never.

On November 7, 2007 the NYSE removed the trading curb limitation for violent market moves.

This is getting surreal. Goldman principal program trading is now well over 5x compared to its customer and agency trades and a 150 million share pick up compared to last week. For yet another week, Goldman's principal trading represents more than half of all NYSE member firm principal transactions.

The people demand Cuomo and an end of market manipulation.

This is getting surreal. Goldman principal program trading is now well over 5x compared to its customer and agency trades and a 150 million share pick up compared to last week. For yet another week, Goldman's principal trading represents more than half of all NYSE member firm principal transactions.

The people demand Cuomo and an end of market manipulation.

This is getting surreal. Goldman principal program trading is now well over 5x compared to its customer and agency trades and a 150 million share pick up compared to last week. For yet another week, Goldman's principal trading represents more than half of all NYSE member firm principal transactions.

The people demand Cuomo and an end of market manipulation.

While the vicious love quadrangle (no pun intended Mr. Rattner) of Bernanke, Geithner, Lewis and Vikram pound the table on just how well lubricated the credit markets have become, the truth is that aside from ultra high quality Investment Grade names and TLPG-backed financial issuance, the credit market is for all practical purposes still in critical condition and about to be carted off to the morgue. The fact is that YTD issuance in the riskier HY and loan markets (see chart below) stands at a meager $22 billion - the lowest level in recent history.