Bain

US Futures Rebound After Disappointing Chinese, European Data

Yesterday's sharp Chinese selloff is now a distant memory after the BTFDers emerged, and this morning U.S. equity futures are once again levitating as the FOMC begins its two-day policy meeting, following an uneventful BOJ announcement on Tuesday morning which left all QE parameters unchanged. Asian stocks traded mixed steady while European shares climb.

Frontrunning: September 29

  • Republican Tax Plan Hits First Hurdle (WSJ)
  • A $6.4 Billion Windfall Awaits Big U.S. Banks in Trump's Tax Cut (BBG)
  • How Does the Trump Tax Plan Affect You? WSJ Answers Your Questions (WSJ)
  • Twitter suspends Russia-linked accounts, but U.S. senator says response inadequate (Reuters)
  • Flight ban on Iraqi Kurds imposed after independence vote (Reuters)

Global Bond Rout Accelerates Even As Dollar Rally Fizzles

In a continuation of trading patterns observed over the previous two days, on Thursday the global bond rout deepened in the aftermath of the release of President Trump’s tax-cut plan, Janet Yellen's recent hawkish comments and renewed optimism over the health of the U.S. economy.

Bill Blain: How To Catch Rabies In The Junk Bond Market

There are a number of things that worry me. First is the market doesn’t seem to think Toy R Us is symptomatic of wider problems across the whole hi-yield and LBO sector. Scond, high yield spreads continue to tighten against bonds...

Frontrunning: September 21

  • Mark Zuckerberg’s Political Awakening (BBG)
  • Bank of Japan Sticks With Easy-Money Settings (WSJ)
  • Bank of Japan board member demands more stimulus (FT)
  • S&P downgrades China, says rising debt is stoking economic, financial risks (Reuters)
  • Boston’s Fate Lies With a Zombie Hurricane as Maria Moves North (BBG)

Toys "R" Us Files Chapter 11: Second Largest US Retail Bankruptcy In History

Toys “R” Us Inc., the largest US toys retailer, filed for bankruptcy late on Monday night, as a result of a crushing post-LBO debt load and relentless competition from warehouse and online retailers. With assets of $6.9 billion, it’s the second-largest retail bankruptcy, trailing the filing in 2002 by Kmart, which had $14.6 billion in assets.

Frontrunning: September 14

  • Trump Says No Deal Reached on DACA (WSJ); Trump Denies Democrats’ Claim That They Made a Deal on ‘Dreamers’ (BBG)
  • Weak China data knocks global stocks off record highs (Reuters)
  • GOP to Release Tax Overhaul as Trump Says Rich Won’t Benefit (WSJ)
  • North Korea threatens to 'sink' Japan, reduce U.S. to 'ashes and darkness' (Reuters)
  • Saudi Arabia Clamps Down as Prince Consolidates Power (WSJ)

World Stocks Pull Back Amid Rising Concerns Of A Market Correction

For the first day in three S&P futures have pulled back modestly from record levels as some investors cautioned that gains had gone too far, too fast, European shares are mixed while Asian equities extended their longest rising streak in almost two months as continued gains in Japan and India offset the losses in Hong Kong.