Tyler Durden's picture

Can The Oil Industry Really Handle This Much Debt?

With at least 83 percent of these companies' operating cash being spent on debt repayments - the highest on record - the renewed collapse in crude oil prices of the last month has renewed focus on the tidal wave of defaults that the credit market is increasingly pricing in (and stocks not).

Tyler Durden's picture

The Unintended Consequences Of 'Lift-Off' In A World Of Excess Reserves

In the short run this will probably lead to dramatic and unexpected change in financial flows. Over the longer run, a much-overlooked problem emerges. Simply put, it is highly unlikely that market rates will respond as the Fed moves its target rate upwards; in this case, the FOMC will have lost all control.

Tyler Durden's picture

Which Assets Have Priced In A Chinese Economic Collapse? Barclays Explains

If we assume that China’s hard landing can and will get hard-er-er, it’s worth asking which assets and currencies have priced in a further deceleration in the world’s engine of global growth and trade. Barclays has more on what’s expensive and what’s cheap vis-a-vis persistent deterioration in the Chinese growth story.

Tyler Durden's picture

Shanghai Futures Exchange Appeals To Sellers: "Please Be Rational"


Complex and volatile economic and financial situations in China and abroad are adding uncertainty to market. Members should remind investors to be prudent in judging market information and to be rational with investment decisions to maintain a smoothly running market.

Phoenix Capital Research's picture

One by One the Central Banks Are Losing Control

The fact of the matter is that despite public opinion, there are problems that are so big that the Central Banks cannot fix them. We’ve seen this in Switzerland and China and now in Europe. It will be spreading to other countries in the near future.

Tyler Durden's picture

China Unleashes Perfect Storm Of Bad News Prompting Stock Market Plunge

From witch hunts to corporate defaults to abysmal data, Friday marked a rather unceremonious end to the week for China, as a veritable perfect storm of bad news sent the SHCOMP reeling. Unfortunately for China's day trading masses the plunge protection team was, like Guotai Junan International Holdings’ CEO Yim Fung, "missing" in action.

Tyler Durden's picture

Frontrunning: November 27

  • Russia Takes Aim at Turkish Economy Amid Fighter-Jet Spat (WSJ)
  • ‘Commercial scale’ oil smuggling into Turkey becomes priority target of anti-ISIS strikes (RT)
  • Russia-Turkey Ties Are Headed Into a Deep Freeze (WSJ)
  • France signals softer stance on Assad after Russia talks (FT)
  • China Calm Shattered as Brokerage Probe Sparks Selloff in Stocks (BBG)
  • China Stock Bulls Hit Breaking Point as State Dials Back Support (BBG)
  • China's Bond Stresses Mount as Two More Companies Flag Concerns (BBG)
Tyler Durden's picture

China Plunges Most In Three Months, Pushing "Black Friday" Into The Red For Global Stocks

After several months of artificial, centrally-planned calm in Chinese markets, where "malicious sellers" found out the hard way the Politburo means business, overnight the relative quiet in Chinese stocks since August broke with a bang when the Shanghai Composite tumbled as much 6.1% before closing down 5.5%, the biggest drop in three months and the largest weekly loss since the depth of the Chinese rout in mid-August while a gauge of Chinese volatility surged from the lowest level since March.

Tyler Durden's picture

How Much Higher Can The U.S. Dollar Go?

...and what will the implications be?

Tyler Durden's picture

As If The French Did Not Have Enough Problems

With bond yields hitting ever-increasingly negative levels and stock prices inexorably rising on a wave of real and promised liquidity from Draghi, one could be forgiven for believing the hype about Europe's recovery (had we not seen decades of failure for Japanese QE and 6 years for The Fed). So amid all this renewed hope, with its spiralling nationalism and warmongery - France just suffered the largest jump in joblessness in over 2 years to a new record high of 3.5898 million unemployed.

Tyler Durden's picture

Global Stocks Rise; US Traders Gives Thanks For Higher Equity Futures

While US floor markets are closed for the Thanksgiving holiday (equity, rates and energy futures are open until 1pm Eastern), Europe and Asia (as well as US equity futures) were busy rebounding overnight on strength in the commodity complex following yesterday's news that China's metals producers have asked for a wholesale government bailout or the "QEmmodity" as we have dubbed it, for the first time since 2009, which together with news that China would soon start arresting "malicious metal sellers" has provided a push for commodity prices across the board.

Tyler Durden's picture

To Junk Bond Traders "It Almost Feels Like 2008"

Despite distressed-debt funds suffering their worst losses since 2008, mainstream apologists continue to largely ignore the carnage in the credit market (even though veteran bond managers have urged "it's not just energy, it's everything.") With the number of loan deals pricing below 80 (distressed) at cycle peaks, and "a less diverse group of investors holding a lot more bonds," price swings continue to be wild but as DB's Melentyev warns, initially "all of this looks random when there is no underlying news to support the big moves. But eventually a narrative emerges -- maybe we have turned the corner on the credit cycle."

Tyler Durden's picture

Puerto Rico Is About To Default: Your Complete Guide To An Island Debt Debacle

It's almost game over for Puerto Rico. The commonwealth is racing to restructure some $72 billion in debt and next week, Padilla will need to decide between a partial default on a $354 million bond payment and ensuring that the government can continue to provide basic services. 

Tyler Durden's picture

Out Of Gas: Gazprom Cuts Off Ukraine, Will Turkey Be Next?

The Western media will tell you that Gazprom cannot afford to cut Turkey off in retailiation for Ankara's attack on a Russian warplane. While that may be true, it's important to remember that Turkey's fallback option when it comes to replacing lost supply is Iran and under the circumstances, it seems exceptionally unlikely that Tehran would be willing to make things easier on Erdogan.

Tyler Durden's picture

How Illiquid Are Bond ETFs, Really? (Spoiler Alert: Very!)

"The dealer market has collapsed, and all that's left are investors trading the same few bonds back and forth, leaving pricing services guessing with bigger and bigger margins of error on the real value of illiquid debt. That's the real problem. And it's not one the SEC can fix by targeting 'transcendent liquidity' in ETFs."

Syndicate content
Do NOT follow this link or you will be banned from the site!