Bond

Flatliners - Dead Market Walking

"...all risk has been flat-lined in this grand central bank experiment...  but any trader staring at the tape knows that we find ourselves in the most compressed price environment in history. This is not normal, there’s no heartbeat..."

Junk Bond Debt Covenant Quality Drops To All Time Lows

The Moody's Covenant Quality score was developed to measure the change in bond structuring terms that will be detrimental to bond investor. It moves between 1 and 5 with 5 being the weakest covenant quality. It is now at all time lows.

Dollar Surge Continues Ahead Of Jobs Report; Europe Dips As Catalan Fears Return

World stocks eased back from record highs and fell for the first time in eight days, as jitters about Catalonia’s independence push returned while bets on higher U.S. interest rates sent the dollar to its highest since mid August; S&P 500 futures were modestly in the red ahead of hurricane-distorted nonfarm payrolls data

Trader: Investors Should Ignore Payrolls, Focus On Europe

The balance of risks is in favor of yields rising after the U.S. employment report. Any weakness will be attributed to hurricanes, while a beat on payrolls or wages would be seen as supporting a Federal Reserve interest rate increase in December. But the ECB could be a more significant driver.

Which American Cities Will File Bankruptcy Next?

For those looking to escape the trauma of being taxed into oblivion by their failing cities/counties/states, JP Morgan has provided a comprehensive guide on which municipalities haven't the slightest hope of surviving their multi-decade debt binge and lavish public pension awards

Spain Rebounds, Pound Tumbles In Quiet Session Ahead Of ECB Minutes, Fed Speakers

Global markets came off record highs, trading subdued, with US index futures unchanged as traders are unwilling to make major moves ahead of today's ECB minutes and tomorrow’s NFP release, and before speeches by central bankers including SF Fed President John Williams and the potential next Fed chair Jerome Powell, as well as ECB executive board members Peter Praet and Benoit Coeure..