Yesterday turned out to be pretty calm–the S&P500 moved up again, but just by 1/4%. Interest rates moved nicely lower – down about 8 basis points. There has been little economic news released this week. We did have plenty of Fed yakkers yesterday and will have again today–seems like they are in lock step for a change – none have tossed any bombs.
I did not buy any think yesterday – it helped that I had to be out of the office all afternoon, BUT I did enter a good until canceled order down at $24.25 for RiverNorth Capital and Income 5.875% Term Preferred (RMPL-P). Yes this is the issue I just sold at $24.98–but it went ex-dividend–trading as low as $24.60. If someone wants to give me a gift, I would take it. The issue has a mandatory redemption in less than a year – I want 8% YTM on a buy.
Also I reviewed many other potential buys – including shipping issues. The shippers have been ‘star’ performers in the last few years with their high yields. I have not bought a tanker or bulker company for many years–my question is have they seen their glory days and with a potential slowing economy are they headed for lower revenue and profits? One needs to scrutinize the balance sheets closely and understand the new build commitments of a company. Historically debt has been the bane of these companys – I don’t know – could take a nibble somewhere.
Lots and lots of earnings news last night – if you are skipping the couple minutes it takes to skim the headlines 4 nights a week (none of Friday) you are missing some good info – it’s nice to read a bit on earnings of company’s that are not generally something you would consider owning – stimulates consideration.
Well the futures markets are fairly calm – in both equities and bonds. The 10 year treasury is at 4.57%–calm. With only the yakkers on tap for today(except wholesale inventories) maybe we will simply have a market that flat lines – wouldn’t break my heart.