Silver as an investment

Category Archives: High Yield

Warning: the Oil Crash Is Just Days Away From Triggering a Debt Crisis

The Oil collapse is about to trigger a crisis in junk bonds. Oil has been going straight down for weeks now. As we write this, black gold is below $43 a barrel, down 16% from its levels a month ago. “So what?” you might ask, “Oil experiences similar drops all the time. Why is this […]

WTI Tumbles To $42, Brent Below $45 As Credit Crashes

High yield energy credit markets are in trouble again, with risk now at its highest level in 7 months. Despite this morning’s Iran-hyped OPEC bullshit and a small draw in Gasoline, it appears the reality of surging US shale production and lagging demand is weighing down oil (and gasoline) markets… Since OPEC announced its production […]

$200 Billion Asset Manager Warns “There’s Danger At The Door” As Markets Lose Focus On Fundamentals

There was a time "when central banking was an honest profession," remarks TCW Group's fixed income CIO Ted Rivelle, warning that "asset prices are not meant to be arbitrary quantities that are to be steered or targeted by central bankers." In his latest letter to investors, Rivelle, whose firm overseas $195 billion in assets details […]

What Keeps Bank of America Up At Night

It has been a painful, bruising intellectual exercise for BofA’s HY credit strategist Michael Contopoulos, who after starting off 2016 uber-bearish, was – together with every other money manager and advisor – taken to the woodshed, and forced to flip bullish, kicking and screaming, and advising BofA clients to buy the same junk bonds he […]

These Eleven Retailers Will File For Bankruptcy Next, According To Fitch

One month ago, we presented a stunning fact from Credit Suisse: barely a quarter into 2017, [annualized] year-to-date retail store closings have already surpassed those of 2008. According to the Swiss bank’s calculations, on a unit basis, approximately 2,880 store closings were announced YTD, more than twice as many closings as the 1,153 announced during […]

A Confused Trader Discusses The VIX And Markets With His Taxi Driver

From “Blain’s Morning Porridge – May 16th 2017” by Bill Blain of Mint Partners       “Now all them things that seemed so important, well mister, they vanished right into the air….” I’ve been very fortunate this morning to spend 30 minutes in the company of perhaps the wisest man in the whole of London. Stuck […]

These Three Charts Are Warning the Market Could Soon Experience an “Event”

The markets are speaking, but no one is listening. The single driver of the stock market since election night is the hype of a Trump-policy driven economic boom. The economy is booming, but based on expectations NOT actual policy changes. This is a critical distinction. Stocks are MOST susceptible to violent drops (or even Crashes) […]

Spectacular 7 Year Auction: Record Indirects, Soaring Bid To Cover

After a strong 2 Year on Tuesday, poor 5 Year on Wednesday we close the week with the Treasury’s sale of $28 billion in 7 Year paper in what can only be described as a spectacular auction. The high yield priced at 2.084%, stopping 2bps through the 2.104%, the biggest gap between the two going […]

Treasury Sells $34 Billion In 5Y Paper In Ugly, Tailing Auction At Lowest Yield Since November

After yesterday’s stellar 2Y auction, moments ago the Treasury sold $34 billion in 5 Year paper in what can only be described as a quite ugly auction. The high yield printed at 1.875%, which maybe because it was the lowest stop since November’s 1.76%, drew far less bidside interest than yesterday’s auction. It also tailed […]

Which Hedge Funds Are The Biggest Holders Of ETFs

The relentless growth of passive investing in general, and ETFs in particular, has been extensively discussed on the pages over the past few years, most recently overnight when we presented a note from Convergex which laid out some ideas how investors can profit from the unstoppable – for now – shift from active, and expensive, […]