Category: US Bonds
The analysis published under this category are as follows.
Wednesday, February 16, 2011
U.S. Bond Market Failure as China and Russia Join PIMCO in Selling U.S. Treasury / Interest-Rates / US Bonds
By: Justin_John
The 10 year yield is waiting like dynamite with fuse lit, ready to blow the top off. 10 year yield are holding at 3.6% and any clean break of 3.7% will see 5.3% as the next target literally killing the recovery and taking down equities with it for the next 10 years.
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Friday, February 11, 2011
U.S. Treasury Bonds Set to Rally / Interest-Rates / US Bonds
By: Joseph_Russo
When planning trips or special events, it is wise to check the weather forecast to make certain that conditions are expected to be suitable for those plans.
Likewise, when planning investments or shorter-term trades, it is also prudent to gain access to a reliable market forecast that is suitable to ones interests, timeframes, and objectives.&
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Friday, February 11, 2011
Investors Protect Yourself From the Looming U.S. Muni Bond Market Storm / Interest-Rates / US Bonds
By: Money_Morning
Shah Gilani writes: Let's make one thing perfectly clear: Wall Street analyst Meredith Whitney is not crying wolf. Whitney - who gained fame for correctly predicting the U.S. banking implosion that presaged a global credit crisis - is now warning us about defaults in the $2.9 trillion municipal bond market.
Whitney is being savaged for this latest prognostication, mostly by institutional money managers who resent the way that she's roiled the traditionally sleepy "muni" market.
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Thursday, February 10, 2011
The Euro Dollar Market and Financial Crises / Interest-Rates / US Bonds
By: Christopher_Quigley
Eurodollars are time deposits denominated in U.S. dollars at banks outside the United States, and thus are not under the jurisdiction of the Federal Reserve. Consequently, such deposits are subject to much less regulation than similar deposits within the U.S., allowing for higher margins. The term was originally coined for U.S. dollars in European banks, but it expanded over the years to its present definition: a U.S. dollar-denominated deposit in Tokyo or Beijing would be likewise deemed a Eurodollar deposit. There is no connection with the euro currency or the euro zone. The first Eurodollars were created by deposits made by the Moscow Narodny bank in 1957 to its branch in London to protect Russian State foreign reserves during the cold war.
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Wednesday, February 09, 2011
Special Delivery Message from the U.S. Bond Markets! / Interest-Rates / US Bonds
By: Brian_Bloom
What happened on the bond markets today was very significant from a technical perspective.
Pure logic dictates that if investors are expecting “inflation” in the future, then the gap between long dated yields and short dated yields would be GROWING. Money in the future will be worth less than money today. Therefore the price of future money needs to be higher in order to compensate. The unarguable technical fact is that the markets signed off today that the gap between short and long yields is NARROWING. Expectations of inflation cannot be the reason for such a development.
Wednesday, February 09, 2011
Muni Bonds: Matt Taibbi's Antidote to Meredith Whitney / Interest-Rates / US Bonds
By: Janet_Tavakoli
The credit-worthiness of specific muni bonds, particularly non-general obligation project bonds, has become a hot topic since "AAA" bond insurers imploded, partly due to mispriced risk premiums on protection they wrote on value-destroying CDOs for Wall Street banks.
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Tuesday, February 08, 2011
Meredith Whitney Is Right About Munis, And her Critics are Con men / Interest-Rates / US Bonds
By: LewRockwell
Mark R. Crovelli writes: Imagine for a second that you are a financial analyst, financial advisor, institutional investor, or trader who specializes in municipal bonds. Your goal, presumably, is to determine which municipalities in the United States are creditworthy enough to justify lending money to them.
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Tuesday, February 01, 2011
U.S. Bond Prices Being Driven by Good News for a Change / Interest-Rates / US Bonds
By: John_Handbury
Treasury Bond prices usually flourish during bad times. Joblessness, recessions, lack of spending, usually drive bond prices up because a stagnating economy usually means lower interest rates and disinflation. These times are different however. Over the last few months we have seen a large drawdown in bond prices without a whiff of inflation. Why aren’t bond prices higher?
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Friday, January 28, 2011
No respite for German Bunds / Interest-Rates / US Bonds
By: Seven_Days_Ahead
The safe haven days of the Bund are clearly in the past. After the frenetic buying that peaked in August, the Bund has been on a clear trend lower and it hasn’t been alone.
But given the Eurozone sovereign debt crisis still remains a live issue, and it was that very crisis that sent the Bund and other Bond markets soaring on safe haven trading, what has changed?
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Wednesday, January 19, 2011
Front-Running the Fed in the Treasury Market, There Is No Business Like Bond Business / Interest-Rates / US Bonds
By: Professor_Emeritus
For some nine years I have been predicting that the economy is going to a recession morphing into a depression, using a purely theoretical argument. The essence of my argument is that the open market operations of the Fed cause a protracted decline in interest rates which is responsible for the hard-to-detect capital destruction affecting the financial sector no less than the productive sector. The immediate cause of the depression is the destruction of capital. The ultimate cause is the monetary policy of open market operations. The chain of causation is as follows.
Monday, January 17, 2011
Bear Stalks the Municipal Bond Market / Interest-Rates / US Bonds
By: Dennis_Elam
Vanguard Funds notified the SEC it will not market three new municipal bond funds designed to emulate various municipal bond indices. Hmm, perhaps Vanguard instead should have brought a bear muni bond ETF to market.
Monday, January 17, 2011
JPMorgan CEO Jamie Dimon Issues Warning for Municipal Bond Investors / Interest-Rates / US Bonds
By: Money_Morning
Kerri Shannon writes:
JPMorgan Chase & Co. (NYSE: JPM) Chief Executive Officer Jamie Dimon said he expected more municipal bankruptcies. In doing so, aligned himself with other critics of the muni-bond market, including analyst Meg Whitman and Money Morning's own Martin Hutchinson.
"There have been six or seven municipal bankruptcies already," Dimon said Jan. 10 at JPMorgan's annual healthcare conference. "I think unfortunately you will see more."
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Saturday, January 15, 2011
U.S. Bond Market Trades in Choppy Narrow Range / Interest-Rates / US Bonds
By: Levente_Mady
The bond market has settled into a relatively narrow but choppy trading range over the past 5 weeks. The Treasury Bond auction cycle consisting of 3, 10 and 30 year tranches was well received, but the slightly disappointing 30 year auction appears to have prevented the market from breaking out of its recent narrow range. Even the onslaught of disappointing economic news could not provide enough motivation for the market to break out to the upside. Consequently, it looks like sideways action remains the path of least resistance.
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Friday, January 14, 2011
Signs the "End of America" Is Nearing, Buy and Hold Gold / Interest-Rates / US Bonds
By: DailyWealth
Dan Ferris writes: I keep getting subscriber e-mails asking me what good it is to buy stocks when the U.S. dollar will soon be destroyed, taking the value of most equities with it.
This question is a better one now than it's ever been in my lifetime.
Saturday, January 08, 2011
Meaningful Base for U.S. Treasuries / Interest-Rates / US Bonds
By: Mike_Paulenoff
Let's take an updated look at the bond market via the iShares Barclays 20+ Year Treas Bond ETF (NYSE: TLT). After all of the fireworks from Wed's ADP forecast for additions to payrolls of nearly 300,000 into this morning's disappointing payrolls data reported by the Governement, we find the TLT's over $1.00 off of its recent low of 91.03 in what looks like the makings of a secondary low within a base-like pattern the started at the Dec 15 low of 90.47.
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Thursday, January 06, 2011
Municipal Bond Forecast: Deadbeat States Emerge as Biggest Threat to Muni-Bond Investors / Interest-Rates / US Bonds
By: Money_Morning
Martin Hutchinson writes: The U.S. municipal bond market could be cruising for a bruising.
The same thing goes for muni-bond investors.
The danger is right out in the open for everyone to see. But investors aren't heeding the warnings.
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Tuesday, December 28, 2010
Key Technical Low for TLT U.S. Treasury Bonds ETF / Interest-Rates / US Bonds
By: Mike_Paulenoff
Based on my near-term as well as intermediate-term work, the iShares Barclays 20+ Year Treas Bond ETF (NYSE: TLT) established a very important technical low at 90.47 on Dec 15 off of the 109.34 high from Aug 25. That low was followed by a powerful upleg to 94.21 on Dec 20 that exhibited bullish form, which "warns" us that after the current pullback runs its course, an upside continuation rally should emerge that propels the TLT towards 99-100 next.
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Sunday, December 26, 2010
The Most Important Financial Development of 2010 / Interest-Rates / US Bonds
By: DailyWealth
Dan Ferris writes: Since November 1, long-term U.S. Treasury bonds have fallen 7% in value. That's not supposed to happen. But it's happening.
Since November 1, the municipal bond market has fallen 6%. That, too, isn't supposed to happen. But it's happening.
Thursday, December 23, 2010
Long-Term U.S. Treasury Bonds, The Best Possible Investment? Think Again / Interest-Rates / US Bonds
By: EWI
TREASURIES -- the very name conveys a thing that is secure, protected, and will appreciate over time. Otherwise, it'd be called something like "TRASHeries" or "Mattress Stuffers." Then, there's the official seal of the US Department of Treasury: its image of a scale and a key symbolize "balance" and "trust."
And, finally, there's the mainstream economic experts who have it on good authority that long-term bonds increase in value during financial instability and uncertainty.
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Tuesday, December 21, 2010
Bush Tax Cuts: How Investors Can Profit From the Compromise Tax Deal In 2011 / Interest-Rates / US Bonds
By: Money_Morning
Martin Hutchinson writes:
With a compromise agreement that extends the Bush tax cuts for two more years, the Obama administration has given investors what they wanted - but not what they needed.
The compromise tax deal was signed into law by U.S. President Barack Obama on Friday, and continues to draw fire from critics on both sides of the political aisle. The $858 billion tax package isn't paid for. In fact, it actually costs more than the controversial Obama stimulus plan that has been criticized for having little measurable impact - even as it caused the budget deficit and the U.S. debt burden to explode.
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