{"id":14602,"date":"2011-03-29T22:20:09","date_gmt":"2011-03-30T02:20:09","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=14602"},"modified":"2011-03-29T22:20:09","modified_gmt":"2011-03-30T02:20:09","slug":"march-29-2011","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=14602","title":{"rendered":"March 29, 2011"},"content":{"rendered":"

How ’bout them US house prices<\/a>, eh?:<\/p>\n

The S&P\/Case-Shiller index of property values in 20 cities fell 3.1 percent from January 2010, the biggest year-over-year decrease since December 2009, the group said today in New York. The decline was in line with the 3.2 percent median forecast by economists in a Bloomberg News survey.<\/p>\n

Rising foreclosures are swelling the number of houses on the market, which may put additional pressure on prices in coming months. At the same time, a further decline in home values may keep potential buyers on the sidelines as they foresee better deals, hurting construction and consumer spending as owners\u2019 equity evaporates. <\/p><\/blockquote>\n

It’s an ill wind that blows nobody any good. We may be witnessing the birth of a few residential real-estate empires<\/a>:<\/p>\n

Delavaco Properties LP plans to spend as much as $30 million this year and $40 million in 2012 to buy bank-owned houses and condominiums in foreclosure-ridden South Florida. The private-equity fund will pay cash.<\/p>\n

As lenders tighten mortgage standards and consumers stay on the sidelines amid a five-year slide in home prices, all-cash purchases are surging. The deals are done mostly by investors who can get properties for less than buyers needing loans, fix them up and resell or rent them.<\/p><\/blockquote>\n

But there’s finally a start to the eventual wind-down of Fannie & Freddie<\/a>:<\/p>\n

U.S. House Republicans proposed legislation that would begin reducing the influence of government-run mortgage companies Fannie Mae and Freddie Mac.
…<\/b>
Representative Scott Garrett, a New Jersey Republican and chairman of the capital markets panel of the House Financial Services Committee, is leading the effort. Most of the Republican proposals line up with a list of recommendations put forth in February by the Treasury Department and the Department of Housing and Urban Development. Garrett\u2019s panel will hold a hearing on March 31 on the proposals.<\/p>\n

When it comes to the Treasury, \u201cat the end of the day, we have the same ultimate goal to achieve here,\u201d Garrett said at a press conference today. \u201cIf you look through their white paper, if you look at what we have, in essence we\u2019re on the same page.\u201d<\/p><\/blockquote>\n

Won’t last though – politicians love loan guarantees. ‘We can Do Good, and it doesn’t even cost anything!’<\/p>\n

Europe’s politicians might find it harder to get co-investors<\/a>:<\/p>\n

Portugal and Greece were downgraded by Standard & Poor\u2019s, which said the European Union\u2019s new bailout rules may mean that both nations eventually renege on their debt obligations.<\/p>\n

S&P cut Portugal for the second time in a week to the lowest investment-grade rating of BBB-, three steps below Ireland. Greece\u2019s rating fell two grades to BB-, three levels below investment grade. S&P cited concerns that both countries may be forced to restructure debt after seeking European aid and that governments will be paid back before other creditors.<\/p><\/blockquote>\n

It was a strong day on the Canadian preferred share market, with PerpetualDiscounts winning 38bp, FixedResets up 13bp and DeemedRetractibles gaining 9bp. Volume was good and volatility jumped.<\/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>\n-0.1312 %<\/td>\n2,399.4<\/td>\n<\/tr>\n
FixedFloater<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n-0.1312 %<\/td>\n3,608.7<\/td>\n<\/tr>\n
Floater<\/td>\n2.51 %<\/td>\n2.29 %<\/td>\n41,501<\/td>\n21.51<\/td>\n4<\/td>\n-0.1312 %<\/td>\n2,590.8<\/td>\n<\/tr>\n
OpRet<\/td>\n4.87 %<\/td>\n3.67 %<\/td>\n58,412<\/td>\n1.13<\/td>\n9<\/td>\n0.1288 %<\/td>\n2,409.6<\/td>\n<\/tr>\n
SplitShare<\/td>\n5.08 %<\/td>\n2.67 %<\/td>\n129,342<\/td>\n0.98<\/td>\n5<\/td>\n-0.0547 %<\/td>\n2,487.5<\/td>\n<\/tr>\n
Interest-Bearing<\/td>\n0.00 %<\/td>\n0.00 %<\/td>\n0<\/td>\n0.00<\/td>\n0<\/td>\n0.1288 %<\/td>\n2,203.3<\/td>\n<\/tr>\n
Perpetual-Premium<\/td>\n5.75 %<\/td>\n5.53 %<\/td>\n132,112<\/td>\n1.20<\/td>\n10<\/td>\n0.1163 %<\/td>\n2,041.0<\/td>\n<\/tr>\n
Perpetual-Discount<\/td>\n5.49 %<\/td>\n5.54 %<\/td>\n125,407<\/td>\n14.51<\/td>\n14<\/td>\n0.3768 %<\/td>\n2,142.0<\/td>\n<\/tr>\n
FixedReset<\/td>\n5.14 %<\/td>\n3.42 %<\/td>\n234,918<\/td>\n2.93<\/td>\n57<\/td>\n0.1267 %<\/td>\n2,290.6<\/td>\n<\/tr>\n
Deemed-Retractible<\/td>\n5.22 %<\/td>\n5.15 %<\/td>\n320,219<\/td>\n8.25<\/td>\n53<\/td>\n0.0918 %<\/td>\n2,090.9<\/td>\n<\/tr>\n<\/table>\n\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
HSB.PR.D<\/td>\nDeemed-Retractible<\/td>\n-1.19 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.05
\nBid-YTW : 5.50 %<\/td>\n<\/tr>\n
IAG.PR.F<\/td>\nDeemed-Retractible<\/td>\n-1.09 %<\/td>\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2019-04-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.38
\nBid-YTW : 5.70 %<\/td>\n<\/tr>\n
W.PR.J<\/td>\nPerpetual-Discount<\/td>\n1.47 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 24.25
\nEvaluated at bid price : 24.55
\nBid-YTW : 5.71 %<\/td>\n<\/tr>\n
ELF.PR.G<\/td>\nDeemed-Retractible<\/td>\n1.50 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 20.52
\nBid-YTW : 7.16 %<\/td>\n<\/tr>\n
W.PR.H<\/td>\nPerpetual-Discount<\/td>\n1.58 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 23.35
\nEvaluated at bid price : 24.35
\nBid-YTW : 5.61 %<\/td>\n<\/tr>\n
ELF.PR.F<\/td>\nDeemed-Retractible<\/td>\n1.70 %<\/td>\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 22.50
\nBid-YTW : 6.61 %<\/td>\n<\/tr>\n
PWF.PR.K<\/td>\nPerpetual-Discount<\/td>\n1.73 %<\/td>\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 23.84
\nEvaluated at bid price : 24.11
\nBid-YTW : 5.20 %<\/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
TD.PR.Q<\/td>\nDeemed-Retractible<\/td>\n68,065<\/td>\nTD bought 20,000 from Nesbitt at 25.85, then crossed the same number at the same price.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2017-03-02
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.81
\nBid-YTW : 5.17 %<\/td>\n<\/tr>\n
MFC.PR.B<\/td>\nDeemed-Retractible<\/td>\n54,997<\/td>\nRBC crossed 50,000 at 21.95.
\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 21.87
\nBid-YTW : 6.31 %<\/td>\n<\/tr>\n
POW.PR.B<\/td>\nPerpetual-Discount<\/td>\n51,590<\/td>\nRBC crossed 50,000 at 23.96.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 23.68
\nEvaluated at bid price : 23.95
\nBid-YTW : 5.59 %<\/td>\n<\/tr>\n
SLF.PR.F<\/td>\nFixedReset<\/td>\n45,110<\/td>\nDesjardins crossed 40,000 at 26.82.
\nYTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-07-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.90
\nBid-YTW : 3.60 %<\/td>\n<\/tr>\n
BAM.PR.M<\/td>\nPerpetual-Discount<\/td>\n42,665<\/td>\nNesbitt crossed 10,000 at 20.90.
\nYTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 20.91
\nEvaluated at bid price : 20.91
\nBid-YTW : 5.72 %<\/td>\n<\/tr>\n
BNS.PR.Z<\/td>\nFixedReset<\/td>\n39,568<\/td>\nNesbitt bought 25,000 from RBC at 24.50.
\nYTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.45
\nBid-YTW : 4.16 %<\/td>\n<\/tr>\n
There were 37 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
POW.PR.A<\/td>\nPerpetual-Discount<\/td>\nQuote: 24.35 – 24.71
\nSpot Rate : 0.3600
\nAverage : 0.2364<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 24.09
\nEvaluated at bid price : 24.35
\nBid-YTW : 5.76 %<\/td>\n<\/tr>\n

GWO.PR.L<\/td>\nDeemed-Retractible<\/td>\nQuote: 25.07 – 25.44
\nSpot Rate : 0.3700
\nAverage : 0.2613<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2019-01-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 25.07
\nBid-YTW : 5.64 %<\/td>\n<\/tr>\n

IAG.PR.C<\/td>\nFixedReset<\/td>\nQuote: 26.95 – 28.25
\nSpot Rate : 1.3000
\nAverage : 1.1936<\/p>\n

YTW SCENARIO
\nMaturity Type : Call
\nMaturity Date\t: 2014-01-30
\nMaturity Price : 25.00
\nEvaluated at bid price : 26.95
\nBid-YTW : 3.28 %<\/td>\n<\/tr>\n

HSB.PR.D<\/td>\nDeemed-Retractible<\/td>\nQuote: 24.05 – 24.30
\nSpot Rate : 0.2500
\nAverage : 0.1565<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.05
\nBid-YTW : 5.50 %<\/td>\n<\/tr>\n

POW.PR.B<\/td>\nPerpetual-Discount<\/td>\nQuote: 23.95 – 24.22
\nSpot Rate : 0.2700
\nAverage : 0.1872<\/p>\n

YTW SCENARIO
\nMaturity Type : Limit Maturity
\nMaturity Date\t: 2041-03-29
\nMaturity Price : 23.68
\nEvaluated at bid price : 23.95
\nBid-YTW : 5.59 %<\/td>\n<\/tr>\n

HSB.PR.C<\/td>\nDeemed-Retractible<\/td>\nQuote: 24.37 – 24.69
\nSpot Rate : 0.3200
\nAverage : 0.2422<\/p>\n

YTW SCENARIO
\nMaturity Type : Hard Maturity
\nMaturity Date\t: 2022-01-31
\nMaturity Price : 25.00
\nEvaluated at bid price : 24.37
\nBid-YTW : 5.44 %<\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"

How ’bout them US house prices, eh?: The S&P\/Case-Shiller index of property values in 20 cities fell 3.1 percent from January 2010, the biggest year-over-year decrease since December 2009, the group said today in New …<\/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-14602","post","type-post","status-publish","format-standard","hentry","category-market-action"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/14602","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=14602"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/14602\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=14602"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=14602"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=14602"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}