{"id":13303,"date":"2010-12-08T21:12:31","date_gmt":"2010-12-09T01:12:31","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=13303"},"modified":"2010-12-08T21:12:31","modified_gmt":"2010-12-09T01:12:31","slug":"december-8-2010","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=13303","title":{"rendered":"December 8, 2010"},"content":{"rendered":"

American banks are getting more competitive<\/a>:<\/p>\n

U.S. bank bonds are about the safest on record relative to debt from European financial institutions as a growing economy allows Citigroup Inc. to wean itself off government support and a fiscal crisis roils Europe.<\/p>\n

The average cost of protecting the notes of the six biggest U.S. banks including Citigroup and JPMorgan Chase & Co. against default fell to 12.16 basis points below the Markit iTraxx Financial Index of 25 European banks and insurers. Credit- default swaps on U.S. banks were 341 basis points higher than their European counterparts at the height of the credit crisis in October 2008.<\/p><\/blockquote>\n

Governments world-wide continued to express their contempt for the judicial process<\/a>:<\/p>\n

MasterCard and London-based Visa Europe Ltd. said yesterday that they are suspending use of their networks by WikiLeaks after the anti-secrecy group released thousands of clandestine U.S. military and State Department documents. The actions are the latest in a series by companies that may crimp access to funds for WikiLeaks, a nonprofit that relies on donations.
…<\/b>
Simon Kleine, a spokesman for Visa Europe, declined to comment beyond a company statement yesterday that said it had suspended payment acceptance on WikiLeaks\u2019 website \u201cpending further investigation into the nature of its business and whether it contravenes Visa operating rules.\u201d
…<\/b>
Chris Monteiro, MasterCard\u2019s chief spokesman, has said that the company didn\u2019t receive a request from the U.S. government or any third party before cutting off WikiLeaks. \u201cThis decision was MasterCard\u2019s alone,\u201d he said yesterday.<\/p><\/blockquote>\n

Volume remained high in the Canadian preferred share market, as PerpetualDiscounts lost 5bp and FixedResets gained 10bp.<\/p>\n

PerpetualDiscounts now yield 5.38%, equivalent to 7.53% interest at the standard equivalency factor of 1.4x. Long Corporates<\/a> now yield about 5.5%, so the pre-tax interest equivalent spread (also called the Seniority Spread) is now about 200bp, a tightening from the 210bp reported on December 1<\/a> that has been accomplished solely through an increase in yield for the bonds.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
HIMIPref™ Preferred Indices
These values reflect the December 2008 revision of the HIMIPref™ Indices<\/strong>
Values are provisional and are finalized monthly<\/td>\n<\/tr>\n
Index<\/td>\nMean
Current
Yield
(at bid)<\/td>\n		Median
YTW<\/td>\n		Median
Average
Trading
Value<\/td>\n		Median
Mod Dur
(YTW)<\/td>\n		Issues<\/td>\nDay’s Perf.<\/td>\nIndex Value<\/td>\n<\/tr>\n
Ratchet<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n-0.3489 %<\/td>\n2,267.5<\/td>\n<\/tr>\n
FixedFloater<\/td>\n4.73 %<\/td>\n3.21 %<\/td>\n29,979<\/td>\n19.03<\/td>\n1<\/td>\n0.0000 %<\/td>\n3,557.5<\/td>\n<\/tr>\n
Floater<\/td>\n2.63 %<\/td>\n2.40 %<\/td>\n54,961<\/td>\n21.24<\/td>\n4<\/td>\n-0.3489 %<\/td>\n2,448.3<\/td>\n<\/tr>\n
OpRet<\/td>\n4.80 %<\/td>\n3.44 %<\/td>\n86,341<\/td>\n2.38<\/td>\n8<\/td>\n-0.0913 %<\/td>\n2,372.4<\/td>\n<\/tr>\n
SplitShare<\/td>\n5.48 %<\/td>\n1.01 %<\/td>\n119,371<\/td>\n1.00<\/td>\n3<\/td>\n-0.1473 %<\/td>\n2,455.7<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n-0.0913 %<\/td>\n2,169.3<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.70 %<\/td>\n5.45 %<\/td>\n158,298<\/td>\n5.45<\/td>\n27<\/td>\n0.1033 %<\/td>\n2,011.0<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.37 %<\/td>\n5.38 %<\/td>\n280,812<\/td>\n14.79<\/td>\n51<\/td>\n-0.0457 %<\/td>\n2,027.4<\/td>\n<\/tr>\n
FixedReset<\/td>\n5.24 %<\/td>\n3.50 %<\/td>\n376,460<\/td>\n3.12<\/td>\n52<\/td>\n0.1046 %<\/td>\n2,256.9<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n
Performance Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nChange<\/td>\nNotes<\/td>\n<\/tr>\n
CM.PR.M<\/td>\nFixedReset<\/td>\n-2.12 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-08-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.30
\nBid-YTW : 4.05 %<\/td>\n<\/tr>\n
BAM.PR.J<\/td>\nOpRet<\/td>\n-1.17 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-04-30
\nMaturity Price : 26.00
\nEvaluated at bid price : 27.04
\nBid-YTW : 4.25 %<\/td>\n<\/tr>\n
PWF.PR.A<\/td>\nFloater<\/td>\n-1.09 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2040-12-08
\nMaturity Price : 21.50
\nEvaluated at bid price : 21.76
\nBid-YTW : 2.40 %<\/td>\n<\/tr>\n
RY.PR.R<\/td>\nFixedReset<\/td>\n1.03 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-03-26
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.48
\nBid-YTW : 3.19 %<\/td>\n<\/tr>\n
PWF.PR.E<\/td>\nPerpetual-Discount<\/td>\n1.24 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2040-12-08
\nMaturity Price : 23.36
\nEvaluated at bid price : 24.56
\nBid-YTW : 5.61 %<\/td>\n<\/tr>\n
GWO.PR.J<\/td>\nFixedReset<\/td>\n2.47 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-01-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.60
\nBid-YTW : 3.67 %<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n\n
Volume Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nShares
Traded<\/td>\n		Notes<\/td>\n<\/tr>\n
BNS.PR.X<\/td>\nFixedReset<\/td>\n98,015<\/td>\nTD crossed 95,000 at 27.52.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-05-25
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.52
\nBid-YTW : 3.42 %<\/td>\n<\/tr>\n
IGM.PR.B<\/td>\nPerpetual-Premium<\/td>\n94,313<\/td>\nRBC crossed three blocks, of 45,000 shares, 28,500 and 10,000, all at 25.10.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2040-12-08
\nMaturity Price : 24.85
\nEvaluated at bid price : 25.07
\nBid-YTW : 5.96 %<\/td>\n<\/tr>\n
RY.PR.T<\/td>\nFixedReset<\/td>\n85,400<\/td>\nRBC crossed 75,000 at 27.50.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-09-23
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.51
\nBid-YTW : 3.50 %<\/td>\n<\/tr>\n
TD.PR.K<\/td>\nFixedReset<\/td>\n82,595<\/td>\nRBC crossed 72,500 at 27.55.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-08-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.56
\nBid-YTW : 3.53 %<\/td>\n<\/tr>\n
RY.PR.I<\/td>\nFixedReset<\/td>\n82,056<\/td>\nRBC crossed 74,500 at 26.20.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-03-26
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.20
\nBid-YTW : 3.47 %<\/td>\n<\/tr>\n
TD.PR.I<\/td>\nFixedReset<\/td>\n76,977<\/td>\nRBC crossed 74,500 at 27.55.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-08-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.50
\nBid-YTW : 3.59 %<\/td>\n<\/tr>\n
There were 57 other index-included issues trading in excess of 10,000 shares.<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

American banks are getting more competitive: U.S. bank bonds are about the safest on record relative to debt from European financial institutions as a growing economy allows Citigroup Inc. to wean itself off government support …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[],"class_list":["post-13303","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/13303","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=13303"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/13303\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=13303"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=13303"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=13303"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}