Bonds
Treasury Yield Curve Flattest Since January on Inflation Outlook, Supply The difference in yield between 2-
and 10-year Treasury notes narrowed for a fifth week as the
Federal Reserve reiterated it would keep borrowing costs low for
an “extended” period and reports showed a lack of inflation.
CDO `Samaritan' Hildene Duels With Fund Goliaths Over Stripping Collateral Hildene Capital Management LLC, the
$150 million hedge fund that gained 33 percent last year, is
fighting firms 100 times its size to preserve the value of
collateralized debt obligations holding bank securities.
Hartford Financial, AIG Unit Sell Debt, Signalling Confidence in Economy Hartford Financial Services Group
Inc., the insurer bailed out by the Treasury in June, and
aircraft lessor International Lease Finance Corp. tapped the
corporate bond market this week, showing growing investor
confidence the U.S. economy won’t fall back into recession.
AIG CDOs Sold to Federal Reserve Put on Review for Downgrade by Moody's The largest collateralized debt
obligations insured by American International Group Inc. and
taken over by the Federal Reserve as part of AIG’s bailout may
be downgraded by Moody’s Investors Service.
Fed May Increase Discount Rate Before Next Policy Meeting, Economists Say The Federal Reserve may increase
the discount rate, charged on direct loans to banks, before the
next meeting of the Federal Open Market Committee on April 28,
economists said.
Three-Month Dollar Libor Rises Most Since September on U.S. Liquidations The cost of borrowing in dollars
between banks for three months in London rose the most since
September as U.S. companies liquidated funds parked in the
banking system to meet a tax deadline.
Trichet Will Push `Strongly' for More Transparency on Credit-Default Swaps European Central Bank President
Jean-Claude Trichet said he’s pushing “strongly” for more
transparency around credit default swaps.
Greece Bailout Spat Triggers Increase in Cost of PIIGS Default Protection A squabble between the European
Union’s biggest members over an aid plan for Greece is
triggering a surge in the cost of credit-default swaps linked to
some of the region’s most indebted nations.
Russia to Meet U.S. Investors for First Eurobond Sale Since 1998 Default Russian government officials will
meet U.S. investors for the country’s first sale of Eurobonds
since the 1998 financial crisis next month, taking advantage of
record-low yields to plug its budget deficit.
Japan's Bonds Complete Third Weekly Decline on Signs Economy Is Recovering Japan’s bonds fell for a third week
as signs the world’s second-largest economy is recovering damped
demand for the safety of government debt.
China Says Treasury Purchases Help to Stabilize World Financial Markets China’s purchase of U.S. treasuries
has helped to stabilize financial markets, He Ning, head of the
Ministry of Commerce’s department of American and Oceanian
affairs, said at a briefing today. Relatively cheap Chinese
goods have also helped the U.S. to control inflation, He said
today.