https://fred.stlouisfed.org/series/BAMLH0A0HYM2EY#0 If LQD closes below 110 in a convincing manner, it would likely foreshadow an even more powerful bond and stock market bust ahead. As someone who has been warning heavily about dangerous bubbles in U.S. corporate bonds …
via Tim Kilgore As benchmark interest rates in the U.S. rise and the pace of corporate earnings growth slows, Moody’s Investors Service warned Friday that an unprecedented number of corporate credit ratings could be added to the “junk” pile. Moody’s …
by John Rubino Back in 2104 oil was falling and hundreds of billions of dollars of energy junk bonds and leveraged loans looked to be at risk. Wolf Street had this to say at the time: Oil and Gas Bloodbath …
by Adam Taggart Mike Maloney, monetary historian and founder of GoldSilver.com, has just released two new chapters of his excellent Hidden Secrets Of Money video series. In producing the series, Maloney has reviewed several thousand years of monetary history and has observed …
by Kimble Charting CLICK ON CHART TO ENLARGE Junk Bonds have sent an important message to stocks at important tops and bottoms over the past 20-years! Junk bonds sent bullish messages to stocks as they created bullish divergences at the lows in …
by BrokenFireEscape November 1, 2018 – Series I Bonds purchased in the next six months have a fixed rate of 0.50% and a composite rate of 2.83% As the Federal Reserve continues to raise federal lending rates, it is fairly safe …
By Harry Dent I’ve been waiting for the recent spike in T-bonds in the U.S. A similar spike occurred in the early 1930s crash. Ten-year yields first jumped from 4.5% to 5.5% in 1931 and then fell all the way …
by WARREN MOSLER Looks like it’s turned up a bit with the tax cuts? Looks like this source of private sector deficit spending has gone flat again: Looks to me a lot more like a deficiency of demand than a demographic …
U.S. stocks, bonds, and the dollar all falling together is a warning sign that the party is coming to an end. Once gold breaks out it will officially be over. Then look out below. How long before the Fed capitulates, …
via BBG Global bonds are hitting fresh milestones of misery. Strong U.S. data, a tighter-than-expected monetary trajectory, rising commodity prices and brewing wage pressures are conspiring to push Treasury yields to cycle-highs, hitting money managers of all stripes. The value …
by Martin Armstrong QUESTION: Hi Marty, Can you help us better understand the dynamics of the sovereign debt crisis as it relates to US Treasuries? I know we are in a global debt crisis, which will also impact US …
via GPC The financial markets are now rapidly running out of liquidity. The Fed will withdraw $50 billion in liquidity from the financial system this month via its Quantitative Tightening, QT, program. This is the largest liquidity withdrawal since the 2008 …
BAML has just called a peak in home sales! Citing declining affordability (makes sense given rising mortgage rates = headwind), housing market underperformance as economy grew (relative terms). @mtmalinen @LizAnnSonders @BValentineCFA @anilvohra69 @MI_Investments @SoberLook pic.twitter.com/gT8D3O5qXT — Taylor-Swift Yield Spread (@TayTayLLP) …
A fresh piece of Citi research lands on bond market liquidity, which evokes a reminder of those days in late 2015 when a lot of attention was focused on how easy it was to buy and (more importantly) sell corporate debt. Back …
by Egon von Greyerz This is it! The autumn of 2018 will be momentous in the world economy, markets and politics. We are now seeing the Last Hurrah for stocks, bonds, the dollar and most asset markets. The world economy has …
Tesla bonds due in 2025 are trading near their all-time lows. pic.twitter.com/fenSUFqzpx — Lisa Abramowicz (@lisaabramowicz1) August 27, 2018 $TSLA $TSLAQ pic.twitter.com/oROH9xdu83 — Alastair (@StockBoardAsset) August 27, 2018 Did you know: Elon Musk / Tesla did not invent some amazing …
What do you think? Here is the article: Gundlach warns record bond speculation could cause big move in interest rates – http://cnbc.com/id/105405803 Here is a summary of my current positioning and trades. Closed Positions Today Short XOP Puts September-21st-40 Strike Shorted …
via Eric Basmajian Summary The short position in the Treasury market is at a record high. Any sign of an economic slowdown could trigger a record short squeeze. The fundamentals support buying bonds despite the short position. WAIT TO BUY BONDS …
Ironically, financial markets are most risky when they appear to be the least so. With that in mind, let’s sift through some “junk,” with the aid of this chart. https://www.youtube.com/watch?v=CY6MAEh6sPQ
Authored by Lance Roberts via RealInvestmentAdvice.com, Michael Lebowitz previously penned an article entitled “Face Off” discussing the message from the bond market as it relates to the stock market and the economy. To wit: “There is a healthy debate between those who work …
Authored by Simon Black via SovereignMan.com, In a world full of reckless and extreme monetary policy, Japan no doubt takes the cake. The country has total debt of more than ONE QUADRILLION YEN (around $10 trillion) pushing its debt-to-GDP ratio to a …
via The Phoenix The single most important bond in the world is the 10-Year US Treasury bond. This bond represents the “risk free” rate of return for a total economic cycle (roughly 10 years) denominated in the global reserve currency (the …
Lenders, i.e. high-yield bond holders, will try to exit their positions all at once only to find a severe shortage of willing buyers. The following week in Train Crash Preview, I listed the steps in which I think the crisis …
by Kevin Muir of The Macro Tourist Last week’s piece about the widening of investment-grade credit versus high-yield got so many intelligent responses, I thought instead of writing on a new topic today, I would take the lazy route and simply share the insights. …
https://twitter.com/dlacalle_IA/status/1011696454224793605 Long Eurozone 🇪🇺Bonds? Good luck.#ECB signals end of QE and there is no evidence of real demand at these yields. Meanwhile, governments continue to spend as if there is no tomorrow… … while Eurozone slowdown is evident pic.twitter.com/8GDcRzpEHt — …
Huge spikes in the convertible bond market don’t tend to last for more than a year at a time. And the top two years for convertible bonds in the internet era 2000 and 2007 were both quickly followed by market …
via ifre: Car finance companies have pushed into fresh territory this year by selling Single B rated debt backed by loans made to sub-prime borrowers. Selling Double B bonds was a bold trade not so long ago but as demand has …
Wolf Richter wolfstreet.com, www.amazon.com/author/wolfrichter Still dreaming in la-la-land. High-grade corporate bonds are “gradually” – the key word in everything the Fed says – and reluctantly coming to grips with the new era: Yields are rising and bond prices are falling. …
by John Rubino The longer an expansion lasts, the crappier its paper becomes. That may seem like a baseless assertion, but it’s actually just simple math. Early in recoveries, borrowers and lenders are both shell-shocked by the just-ended recession, so …
