We had just polished off our second helping of pumpkin pie last Thursday evening when the first (of what we assume will be many) “2015 Market Outlook” hit our in-box. Always big supporters of the crystal ball crowd, we thought we’d begin our own prognostication series by sharing some of the contents of that forecast…
Everybody talks about yield, but nobody does anything about it. In particular, the Fed’s reluctance to be pinned down to a date certain when rates will rise has lent a “she-loves-me-she-loves-me-not” tone to investors’ worries. The buy-side has toggled all year between loans and bonds in search of optimal returns. Mutual fund flows have oscillated like…
“What’s the definition of an overheated market? One loan and two lenders.” That’s the supply/demand conundrum in the leveraged loan market today. While institutional and retail cash have certainly re-entered the asset class with vigor since the credit crisis, overall levels are not more than those enjoyed during 2007. Indeed, the short-term outlook might see…
When we last reported on market conditions two years ago the Dow had closed at 12,929. Today it stands at 16,408 – a 27% improvement. Greek bonds back in April 2012 easily yielded mid-teens returns. Last week a five-year Greek bond auction was seven times oversubscribed and priced at 5%. After the first sixteen games…