Credit Market OverviewMarch 31, 2009
This morning the U.S. Department of Agriculture issues its spring-plantings report. This will provide a window into the planting plans of the nation’s farmers. The major choices here, given the concurrent growing seasons, are corn and soybeans. The major factor, this year at least, is cost.
Producing high… »
Credit Market OverviewMarch 30, 2009
When success depends on repeating a specific function with precision, minor variations in execution can wreak havoc with performance. Brain surgery, sports, and trading all come to mind. While trading is the least physical of the three, keeping one’s mind in the game is just as important when making… »
Credit Market OverviewMarch 27, 2009
“Still waters run deep.” The origin of this statement comes from the fact that shallow rivers are rough with waves as the rocks are close to the surface. Deep rivers have a lot of water between the rocks on the bottom and their smooth surface. Additionally, while appearing… »
Credit Market OverviewMarch 26, 2009
In a sequence, were it scripted by Hollywood would not be believed, the media’s attention focused Tuesday on Messrs. Bernanke and Geithner tied to the stake as Congress fanned the flames and another episode of “Wall St. Witch Hunt” unfolded only to be followed yesterday by Jake DeSantis’ now famous resignation… »
Credit Market OverviewMarch 25, 2009
Wall St. has often been described as a jungle and from the stories we read as children we have been told that the lion is the King of the Jungle. If, for the sake of argument, we accept these as true then in his day, George Soros was a lion…. »
Credit Market OverviewMarch 24, 2009
Steve Kroft admonished President Obama while interviewing him this past Sunday evening on 60 Minutes for mixing laughter with his discussion of a financial system that, even with the market’s latest run up from its March 6th lows, is still in precarious shape at best. “Are you punch drunk?” Kroft… »
Credit Market OverviewMarch 23, 2009
David C. McCullough said “History is a guide to navigation in perilous times” and there are few who would not call these times perilous. A month or so ago comparison’s between the present and the Great Depression were every where and none of them encouraging. The volatility of daily… »
Credit Market OverviewMarch 20, 2009
There were some dramatic reactions to the Fed announcement of its planned purchase of treasuries and additional assets in mortgage backed securities. The bond market reacted immediately with the 30yr Bond contract settling up 5 2/32 on the day on Wednesday after establishing an 8 27/32 range for the day…. »
Credit Market OverviewMarch 19, 2009http://creditequitycorrelation.blogspot.com/
Yesterday’s announcement that the Fed would purchase $300BN in long term Treasuries and boost its purchase of mortgage debt by $750BN to a projected total of $1.45TN caused a rally in the debt world that, at least in the case of the 47bps drop in the yield of the 10 year… »
Credit Market OverviewMarch 18, 2009http://creditequitycorrelation.blogspot.com/
Magicians and pickpockets practice the art of deception. In the first case we gladly pay to be deceived, in the second we would pay even more not to be. In order to perform their acts successfully however, both groups must understand the value of distraction; have quick hands and perfect timing.
It… »
