Greece is in the headlines again:
Greece retakes its position at the heart of the European debt crisis this week as its creditors assess how far off course the country is from bailout targets, raising again the specter of its exit from the euro.
Greece’s troika of international creditors — the European Commission, the European Central Bank and the International Monetary Fund — will arrive in Athens tomorrow amid doubts the country will meet its commitments and reluctance among euro-area states to put up more funds should it fail.
“If Greece doesn’t fulfill those conditions, then there can be no more payments,” German Vice Chancellor Philipp Roesler told broadcaster ARD yesterday, adding that he is “very skeptical” Greece can be rescued and that the prospect of its exit from the monetary union “has long ago lost its terror.”
When in doubt, ban short sales:
Europe was plunged into fresh market turmoil as the first call for bailout aid by a Spanish region sent borrowing costs surging, while Spain and Italy reinstated a ban on betting on stock declines.
Stocks and the euro fell as Catalonia joined a list of Spanish regions that may tap aid from the central government, spurring 10-year yields to rise to a euro-era record
…
The Washington-based IMF has signaled to European officials that it will stop paying further rescue aid to Greece, bringing the country closer to insolvency in September, Der Spiegel magazine cited unidentified European Union officials as saying in this week’s edition, published yesterday. It’s “already clear” to the troika that Greece won’t reach the 120 percent target, Spiegel said.The fund responded to the Der Spiegel report, saying today in a statement it is “is supporting Greece in overcoming its economic difficulties.”
Missing the targets means Greece would need between 10 billion euros and 50 billion euros in additional aid, a potential outcome that the IMF and several unidentified euro- area states are not prepared to accept, Spiegel said.
All the excitement had an effect:
Government bond yields in the U.S., U.K. and Germany fell to records, while stocks dropped and the euro traded below its lifetime average against the dollar on concern the region’s debt crisis is deepening. Commodities slid as a Chinese central-bank adviser said growth may slow further.
The yield on the 10-year U.S. Treasury note declined to 1.43 percent at 2:22 p.m. New York time after reaching an all- time low of 1.40 percent. Two-year German yields slumped to as low as minus 0.08 percent and Spanish and Italian yields jumped. The Standard & Poor’s 500 Index slid 1 percent. The euro fell for a fourth day, sliding 0.3 percent to $1.2122. Oil fell 3.7 percent in New York. Credit-default swaps on Spain rose as much as 31 basis points to an all-time high of 636.
Sorry this is a day late! TMX Datalinx did not have closing data available prior to midnight last night.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
|||||||
| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1614 % | 2,286.4 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -0.1614 % | 3,420.3 |
| Floater | 3.18 % | 3.21 % | 73,894 | 19.21 | 3 | -0.1614 % | 2,468.8 |
| OpRet | 4.78 % | 2.97 % | 39,742 | 0.91 | 5 | 0.3317 % | 2,526.8 |
| SplitShare | 5.49 % | 4.92 % | 67,541 | 4.68 | 3 | -0.3859 % | 2,755.0 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.3317 % | 2,310.5 |
| Perpetual-Premium | 5.34 % | 1.91 % | 98,229 | 0.48 | 27 | 0.0145 % | 2,261.9 |
| Perpetual-Discount | 4.97 % | 4.91 % | 102,769 | 15.60 | 6 | -0.1638 % | 2,503.8 |
| FixedReset | 4.98 % | 3.00 % | 180,384 | 4.03 | 71 | 0.0651 % | 2,417.9 |
| Deemed-Retractible | 4.96 % | 3.50 % | 145,041 | 1.38 | 46 | 0.0734 % | 2,341.7 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| BNA.PR.D | SplitShare | -1.27 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2012-08-22 Maturity Price : 26.00 Evaluated at bid price : 26.46 Bid-YTW : -3.79 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| CU.PR.D | Perpetual-Premium | 120,661 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-09-01 Maturity Price : 25.00 Evaluated at bid price : 25.84 Bid-YTW : 4.54 % |
| CM.PR.G | Perpetual-Premium | 66,031 | YTW SCENARIO Maturity Type : Call Maturity Date : 2012-08-22 Maturity Price : 25.50 Evaluated at bid price : 25.83 Bid-YTW : -11.27 % |
| SLF.PR.D | Deemed-Retractible | 55,175 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.55 Bid-YTW : 5.88 % |
| BMO.PR.M | FixedReset | 40,857 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.73 Bid-YTW : 2.78 % |
| IAG.PR.G | FixedReset | 40,652 | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2022-01-31 Maturity Price : 25.00 Evaluated at bid price : 25.39 Bid-YTW : 4.05 % |
| CU.PR.E | Perpetual-Premium | 36,981 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-09-01 Maturity Price : 25.00 Evaluated at bid price : 25.75 Bid-YTW : 4.56 % |
| There were 22 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| ENB.PR.F | FixedReset | Quote: 25.45 – 25.71 Spot Rate : 0.2600 Average : 0.1801 YTW SCENARIO |
| POW.PR.A | Perpetual-Premium | Quote: 25.40 – 25.82 Spot Rate : 0.4200 Average : 0.3410 YTW SCENARIO |
| RY.PR.C | Deemed-Retractible | Quote: 25.96 – 26.17 Spot Rate : 0.2100 Average : 0.1394 YTW SCENARIO |
| ENB.PR.B | FixedReset | Quote: 25.38 – 25.71 Spot Rate : 0.3300 Average : 0.2644 YTW SCENARIO |
| CM.PR.K | FixedReset | Quote: 26.10 – 26.40 Spot Rate : 0.3000 Average : 0.2347 YTW SCENARIO |
| BAM.PR.P | FixedReset | Quote: 27.20 – 27.43 Spot Rate : 0.2300 Average : 0.1718 YTW SCENARIO |