Debt 50c on the dollar - good luck finding any

Thank you for visiting my Blog
The chart below shows the turn of joint debt that trades at a price below 50 cents on the dollar. This is simply how JPMorgan defines "distressed debt". What's awesome is how demand for immobile income product nearly eliminated this spike in a matter of months. A assemblage past over $200 MM of joint debt traded at discounts of 50% or more. Now there is almost none left.





Part of this life in credit stems from dropping choice rates:




It's a bit of a self-fulfilling prophecy. Demand for immobile income product provides opportunities for refinancing, generating liquidity, extending maturites, and reaction choice rates. Falling choice rates generate more welfare in credit/fixed income. Of course this impact can impact in reverse as well.


SoberLook.comwww.SoberLook.com be Sure you bookmark this page. Thanks...
Generated by best funky, gaul abizz.
Powered by Mas BAsy.
Technorati

Read More..

US Dollar (DX) Daily Chart

Thank you for visiting my Blog
The note rallied today on slightly higher interest rates, and hopes that the FRS module be able to improve brief constituent rates more quickly than due next year. The August FRS Funds futures ticked up a bit, upbringing the probability to 40% of a improve in the second half of 2010. It is feat to be engrossing to wager how Ben achieves this change in contract beyond the jawboning. Raising the interest be Sure you bookmark this page. Thanks...
Generated by best funky, gaul abizz.
Powered by Mas BAsy.
Free Software

Read More..