{"id":14537,"date":"2011-03-24T08:25:36","date_gmt":"2011-03-24T12:25:36","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=14537"},"modified":"2011-03-24T08:25:36","modified_gmt":"2011-03-24T12:25:36","slug":"march-23-2011","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=14537","title":{"rendered":"March 23, 2011"},"content":{"rendered":"

Crisis in Portugal<\/a>:<\/p>\n

Portuguese Prime Minister Jose Socrates tendered his resignation after plans to cut the budget were rejected by parliament, pushing the country closer to an international bailout.
…<\/b>
Portugal has already raised taxes and implemented the deepest spending cuts in more than three decades to convince investors it can reduce its budget shortfall. Additional cuts, announced on March 11, prompted a political backlash and failed to persuade investors.<\/p>\n

The spread between Portuguese and German 10-year bond yields widened 16 basis points to 438 basis points yesterday after reaching a euro-era record of 484 on Nov. 11.<\/p><\/blockquote>\n

It was another positive day on the Canadian preferred share market,with PerpetualDiscounts up 17bp, FixedResets up 2bp and DeemedRetractibles winning 9bp. Volume was average.<\/p>\n

PerpetualDiscounts now yiel 5.59%, equivalent to 7.27% interest at the now standard equivalency factor of 1.3x. Long corporates<\/a> now yield about 5.5% (OK, maybe a little bit less) so the pre-tax interest-equivalent spread is now about 180bp, not much different from the 175bp reported on March 9<\/a>.<\/p>\n\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>\n0.1805 %<\/td>\n2,385.7<\/td>\n<\/tr>\n
FixedFloater<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.1805 %<\/td>\n3,588.1<\/td>\n<\/tr>\n
Floater<\/td>\n2.52 %<\/td>\n2.33 %<\/td>\n43,783<\/td>\n21.40<\/td>\n4<\/td>\n0.1805 %<\/td>\n2,575.9<\/td>\n<\/tr>\n
OpRet<\/td>\n4.89 %<\/td>\n3.62 %<\/td>\n57,306<\/td>\n1.15<\/td>\n9<\/td>\n0.1380 %<\/td>\n2,398.8<\/td>\n<\/tr>\n
SplitShare<\/td>\n5.09 %<\/td>\n3.04 %<\/td>\n148,036<\/td>\n0.99<\/td>\n5<\/td>\n0.1249 %<\/td>\n2,483.9<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.1380 %<\/td>\n2,193.5<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.74 %<\/td>\n5.57 %<\/td>\n137,172<\/td>\n6.21<\/td>\n10<\/td>\n0.0278 %<\/td>\n2,035.8<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.51 %<\/td>\n5.59 %<\/td>\n124,979<\/td>\n14.52<\/td>\n14<\/td>\n0.1694 %<\/td>\n2,129.5<\/td>\n<\/tr>\n
FixedReset<\/td>\n5.16 %<\/td>\n3.50 %<\/td>\n233,993<\/td>\n2.95<\/td>\n57<\/td>\n0.0225 %<\/td>\n2,281.1<\/td>\n<\/tr>\n
Deemed-Retractible<\/td>\n5.22 %<\/td>\n5.16 %<\/td>\n338,534<\/td>\n8.27<\/td>\n53<\/td>\n0.0935 %<\/td>\n2,086.2<\/td>\n<\/tr>\n<\/table>\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
BAM.PR.X<\/td>\nFixedReset<\/td>\n-1.46 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 22.83
\nEvaluated at bid price : 24.26
\nBid-YTW : 4.44 %<\/td>\n<\/tr>\n
GWO.PR.I<\/td>\nDeemed-Retractible<\/td>\n-1.45 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 21.82
\nBid-YTW : 6.14 %<\/td>\n<\/tr>\n
BMO.PR.J<\/td>\nDeemed-Retractible<\/td>\n-1.06 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.18
\nBid-YTW : 4.96 %<\/td>\n<\/tr>\n
GWO.PR.M<\/td>\nDeemed-Retractible<\/td>\n1.16 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2019-04-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.39
\nBid-YTW : 5.58 %<\/td>\n<\/tr>\n
FTS.PR.F<\/td>\nPerpetual-Discount<\/td>\n1.52 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 23.14
\nEvaluated at bid price : 23.35
\nBid-YTW : 5.29 %<\/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
HSE.PR.A<\/td>\nFixedReset<\/td>\n126,131<\/td>\nRecent new issue<\/a>.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 24.95
\nEvaluated at bid price : 25.00
\nBid-YTW : 4.30 %<\/td>\n<\/tr>\n
W.PR.H<\/td>\nPerpetual-Discount<\/td>\n103,400<\/td>\nRBC crossed blocks of 50,000 and 45,000, both at 24.30.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 23.83
\nEvaluated at bid price : 24.13
\nBid-YTW : 5.80 %<\/td>\n<\/tr>\n
TD.PR.I<\/td>\nFixedReset<\/td>\n54,523<\/td>\nTD crossed 50,000 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 : 3.38 %<\/td>\n<\/tr>\n
TD.PR.N<\/td>\nOpRet<\/td>\n51,400<\/td>\nNesbitt crossd 50,000 at 25.66.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2012-05-30
\nMaturity Price : 25.25
\nEvaluated at bid price : 25.66
\nBid-YTW : 3.72 %<\/td>\n<\/tr>\n
RY.PR.X<\/td>\nFixedReset<\/td>\n46,853<\/td>\nDesjardins bought 18,300 from National at 27.41, then crossed 20,000 at the same price.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-09-23
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.45
\nBid-YTW : 3.48 %<\/td>\n<\/tr>\n
TD.PR.A<\/td>\nFixedReset<\/td>\n40,271<\/td>\nRBC crossed 24,800 at 26.16.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-03-02
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.09
\nBid-YTW : 3.70 %<\/td>\n<\/tr>\n
There were 32 other index-included issues trading in excess of 10,000 shares.<\/td>\n<\/tr>\n<\/table>\n\n\n\n\n\n\n\n\n\n
Wide Spread Highlights<\/strong><\/td>\n<\/tr>\n
Issue<\/td>\nIndex<\/td>\nQuote Data and Yield Notes<\/td>\n<\/tr>\n
SLF.PR.G<\/td>\nFixedReset<\/td>\nQuote: 25.35 – 26.15
\nSpot Rate : 0.8000
\nAverage : 0.4881<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.35
\nBid-YTW : 3.93 %<\/td>\n<\/tr>\n

FTS.PR.F<\/td>\nPerpetual-Discount<\/td>\nQuote: 23.35 – 23.70
\nSpot Rate : 0.3500
\nAverage : 0.2506<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 23.14
\nEvaluated at bid price : 23.35
\nBid-YTW : 5.29 %<\/td>\n<\/tr>\n

IAG.PR.E<\/td>\nDeemed-Retractible<\/td>\nQuote: 25.50 – 25.85
\nSpot Rate : 0.3500
\nAverage : 0.2510<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2019-01-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.50
\nBid-YTW : 5.70 %<\/td>\n<\/tr>\n

BAM.PR.X<\/td>\nFixedReset<\/td>\nQuote: 24.26 – 24.58
\nSpot Rate : 0.3200
\nAverage : 0.2241<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-23
\nMaturity Price : 22.83
\nEvaluated at bid price : 24.26
\nBid-YTW : 4.44 %<\/td>\n<\/tr>\n

ALB.PR.B<\/td>\nSplitShare<\/td>\nQuote: 22.12 – 22.39
\nSpot Rate : 0.2700
\nAverage : 0.1772<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2012-03-29
\nMaturity Price : 21.80
\nEvaluated at bid price : 22.12
\nBid-YTW : 3.04 %<\/td>\n<\/tr>\n

CIU.PR.B<\/td>\nFixedReset<\/td>\nQuote: 27.44 – 27.95
\nSpot Rate : 0.5100
\nAverage : 0.4354<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-07-01
\nMaturity Price : 25.00
\nEvaluated at bid price : 27.44
\nBid-YTW : 3.71 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

Crisis in Portugal: Portuguese Prime Minister Jose Socrates tendered his resignation after plans to cut the budget were rejected by parliament, pushing the country closer to an international bailout.…Portugal has already raised taxes and implemented …<\/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-14537","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/14537","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=14537"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/14537\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=14537"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=14537"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=14537"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}