I had low expectations for income issues today after the crazy rally yesterday–but my expectations have been far exceeded.
With the bond market closed for the Veterans Day holiday observation preferreds and baby bonds have kept the party going–I’m up about 1/2% and my spreadsheets are pretty darned green.
Of course the last 2 days have given me gains in my junky issues–in particular Prospect Capital 5.35% perpetual (PSEC-A)–a real dog, but at least nice gains the last 2 days. Their earnings were released and probably not bad as the nervous nellies had imagined they would be (in fact they were decent). Also Liberty Broadband 7% preferred (LBRDP) bounced nicely as they had stellar earnings (of course bolstered by sales of Charter Communications shares which they sell most quarters—and they have a very low cost basis).
Today we had the U of Michigan Consumer Sentiment released and it came in soft–a reading of 54.7 versus a forecast of 59.5. Next week we have the producer price index coming on Tuesday–likely to be uneventful–but honestly who the hell knows.
Hope everyone had a profitable week–whether income issues or common stock. Rest up on the weekend and get ready for some likely wild action on Monday and Tuesday as we get to see where the bond markets want to take us.