I see that the 10 year treasury yield is now at 3.89% after closing yesterday at 3.84%. The Producer Price Index came in a bit hot yesterday, but it wasn’t until later in the day that equities reacted negatively to comments from Fed yakkers Bullard and Mester that they were in favor of 50 basis point rate hikes (they are not voting members of the FOMC committee this year).
Today we only have the Leading Economic Indicators (LEI) to deal with at 9 a.m. (central). Of course now every piece of news is scrutinized very closely and markets can react to news that in the past was ignored. Any news that shows the economy is stronger than anticipated is going to keep nudging interest rates higher.
Yesterday once again I did nothing at all–just watched. While income markets have been red I noticed that I had quite a few dividend and interest payments hit on the 15th (at least at Fido–eTrade is a day later) which helped brighten the month.
Did you see the Scorpio Tankers (STNG) earnings report yesterday? All I can say is WOW. Incredibly strong earnings–$12.66/share earnings for last year! I don’t invest is shippers, but certainly they are money good (for now at least)
Monday we have no stock or bond trading for Presidents day.
The spook is back on. I was clipping a bunch of a IG fixed to float 25 dollar prfd under 25.1 friday. Down from 25.85 3 days ago.
I bought SBBA (Scorpion Senior Note) under par back during the Oct slump. Bought DAC but under 22%, also have TNP preferreds and our top holding performance wise is FLNG bought at $5.50/sh but only a very small position now worth about $600.
Tim, I am holding two shippers SEAL PA and FLNG both bought several $ below current prices. My higher risk bucket to balance out my 5% payers
This fiasco looks like it may extend the opportunity to accumulate high quality IG sock drawer issues for a while longer.
And another inflation scare may push / hold those 3-4 year CD offerings up to 4% for a while as I believe Grid mentioned a few weeks back.
Could be nice reward to grab some at the end of this mess.
Stay Safe.
US Treas 2.125% due 2/29/24 offered at Fidelity at 5.066% YTM with 40k minimum………. CUSIP 919828W48
Looks like 912828w48 at Etrade but 200 k min
Yup. – typo – sorry ’bout that and the minimum no longer is that small….
Schwab has a $1K minimum on that CUSIP.
Good morning Tim
The employment report from two weeks ago that showed over 500k new jobs was a killer. It has definitely put us on track for 4% 10year treasury bills. I see this morning that the 90day treasury is up to 4.68% looks very tempting to me.
Twin: Gotta wonder…when was working for an honest living in the USA a bad thing? I thought Labor and Capital was a free and open competition and that Labor created income to support Capital? That’s why I went to work at 15 and busted my a** for 55 years.