David's Feed
Jun 11, 2015

U.S.-based junk bond funds see $2.6 billion in weekly outflows

NEW YORK (Reuters) – Investors in U.S.-based funds yanked $2.6 billion from high-yield “junk” portfolios in the week ended June 10, the most in five weeks, data from Thomson Reuters’ Lipper service showed on Thursday.

The cash withdrawals stemmed from exchange-traded-fund investors pulling capital from the iShares iBoxx $ High Yield Corporate Bond Fund, $1.06 billion, and the SPDR Barclays High Yield Bond ETF, $762 million, said Jeff Tjornehoj, head of Americas research at Lipper.

Jun 8, 2015
via Morning Bid with David Gaffen

Changes In the Air

We go into the week with the U.S. Treasury market having suffered its worst weekly run in three months; the benchmark 10-year Treasury saw its biggest jump in yield in nearly two years, basically dating back to the “taper tantrum” of 2013.

Naturally, there’s been a lot of talk about the “next” taper tantrum that seems to be developing.

Jun 8, 2015
via Morning Bid with David Gaffen

Change is in the air

We go into the week with the U.S. Treasury market having suffered its worst weekly run in three months; the benchmark 10-year Treasury saw its biggest jump in yield in nearly two years, basically dating back to the “taper tantrum” of 2013.

Naturally, there’s been a lot of talk about the “next” taper tantrum that seems to be developing.

Jun 6, 2015

Wall St. banks say September Fed rate hike looks more likely: Reuters poll

NEW YORK (Reuters) – Wall Street’s top banks expect the Federal Reserve to begin raising interest rates in September, followed by another before the end of the year, after Friday’s U.S. jobs report exceeded expectations.

All but two of the 16 firms that responded to Reuters said they expect the Fed will begin raising rates in September. Short-term rate futures, the market’s tool for betting on interest rate expectations, also shifted in favor of a rate increase sooner rather than later after Friday’s jobs figures. For full results from the poll, see

Jun 4, 2015
via Morning Bid with David Gaffen

I Learned This in Europe

It’s no secret. The big action in the U.S. markets is going to be tomorrow, as investors await monthly jobs data due out on Friday morning. The expectation is for another strong month of payroll growth somewhere in the range of 230,000 jobs, but of course we will wait to see if there are any increasing signs of wage inflation that would make the Fed more confident in raising rates by September rather than say December.

However, that doesn’t mean Thursday will be a dull affair. The ongoing rise in European yields is continuing and putting pressure on equities as well, and that trend is overriding all others right now. The Greek mishigoss notwithstanding, the markets are more focused on positioning that is overwhelming the daily back-and-forth between Athens and its creditors.

Jun 4, 2015
via Morning Bid with David Gaffen

I Learned This in Europe

It’s no secret. The big action in the U.S. markets is going to be tomorrow, as investors await monthly jobs data due out on Friday morning. The expectation is for another strong month of payroll growth somewhere in the range of 230,000 jobs, but of course we will wait to see if there are any increasing signs of wage inflation that would make the Fed more confident in raising rates by September rather than say December.

However, that doesn’t mean Thursday will be a dull affair. The ongoing rise in European yields is continuing and putting pressure on equities as well, and that trend is overriding all others right now. The Greek mishigoss notwithstanding, the markets are more focused on positioning that is overwhelming the daily back-and-forth between Athens and its creditors.

Jun 2, 2015
via Morning Bid with David Gaffen

I can’t drive 55

Automotive sales could push the market into higher gear if last month brought the kind of rebound that investors are looking for.

After April’s weak data and some flat-to-blah consumption figures of late, the market is still doing the hemming and hawing over whether the economy is bouncing back or not. Car sales, a big part of this equation, may help solidify that.

Jun 2, 2015
via Morning Bid with David Gaffen

I can’t drive 55

Automotive sales could push the market into higher gear if last month brought the kind of rebound that investors are looking for.

After April’s weak data and some flat-to-blah consumption figures of late, the market is still doing the hemming and hawing over whether the economy is bouncing back or not. Car sales, a big part of this equation, may help solidify that.

Jun 1, 2015
via Morning Bid with David Gaffen

A Lot to Chew On

The week promises a lot of huffing and puffing over whether the economy is going to pick up after a dismal first quarter, where things stand before another non-event of a Fed meeting later this month and the scary realization the year is nearly half over.

Much is on the docket this week: Car sales, factory orders, a number of manufacturing and service-sector surveys, and of course the big Megillah, the jobs report.

Jun 1, 2015
via Morning Bid with David Gaffen

A lot to chew on

The week promises a lot of huffing and puffing over whether the economy is going to pick up after a dismal first quarter, where things stand before another non-event of a Fed meeting later this month and the scary realization the year is nearly half over.

Much is on the docket this week: Car sales, factory orders, a number of manufacturing and service-sector surveys, and of course the big Megillah, the jobs report.

    • About David

      "David Gaffen oversees the U.S. markets team, having joined Reuters in May 2009. He spent four years at the Wall Street Journal, where he was the original writer of the web site's MarketBeat blog. He is a frequent guest on Reuters TV, and has appeared on CNN International, Fox Business, NPR, and assorted other media and is the author of the book "Never Buy Another Stock Again.""
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