HALISTER1: Japan 20Y Govt Bond Sale May Fetch 100.65 Cut-Off Price: Survey

Japan 20Y Govt Bond Sale May Fetch 100.65 Cut-Off Price: Survey

(Bloomberg) -- Japan sells 1.1t yen ($10.1b) of 0.5% 20-year govt bonds maturing Sept. 2036.
  • Lowest accepted price seen at 100.65, based on median est. of 13 traders surveyed by Bloomberg
    • Five forecast 100.65, four estimate 100.70 while the rest expect 101.60, 101.55, 100.85 and 100.80
    • Finance Ministry announces results at 12:45pm Tokyo time
  • Debt to be auctioned today fetched 101.042 on Nov. 16 in when-issued trading: JSDA data
  • Deutsche Securities recommends aggressively buying 20-year bonds at the auction, says Makoto Yamashita, chief Japan interest rate strategist in note today; reasons cited include:
    • Lack of long-term sustainability for positive 10-year yields; BOJ can easily stop rising rate; see 10-yr yield remaining positive for no more than 2-3 weeks
    • Attractiveness of rolling down 10- to 20-year spread above 40bps if 10-year yield is depressed to near zero
    • Govt is expected to lower planned FY17 JGB issuance, centering on refunding bonds
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

People
Makoto Yamashita (Deutsche Bank AG)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: INDIA RATINGS: Nitin Fire Cut to D; Adani International Raised

INDIA RATINGS: Nitin Fire Cut to D; Adani International Raised

(Bloomberg) -- Here’s a roundup of Indian co. debt-rating changes.
  • To get this story sent to your inbox real-time, run NI INRATINGS , click on Display & Edit, then Set Alert Delivery
DOWNGRADES
  • Maharaja Shree Umaid
    • Long-term bank facilities cut to BB from BBB- at Care
    • Cites continuing cash losses
  • Nitin Fire Protection
    • LT bank facilities cut to D from BBB+ at Crisil
    • Cites devolvement of letters of credit
UPGRADES
  • Adani International
    • LT bank facilities raised to AA- from A+ at Care
    • Cites healthy growth in cash accruals
  • Daimler India Commercial
    • LT bank facilities raised to AAA from AA at Crisil
    • Cites rating upgrade of parent Daimler AG by S&P
  • GMR Hyderabad International
    • LT bank facilities raised to AA- from A- at Care
    • Cites favorable policy directive from Civil Aviation Ministry
  • K.N.C. Agro
    • LT bank facilities raised to BB from BB- at Crisil
    • Cites higher operating revenue, stable operating profitability
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
MSUM IN (Maharaja Shree Umaid Mills)
NFPI IN (Nitin Fire Protection Industries Ltd)
0837934D IN (Adani International Container Terminal Pvt Ltd)
DAI GR (Daimler AG)
GMRI IN (GMR Infrastructure Ltd)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: Philippines Says There’s No Letup in Fight Vs Money Laundering

Philippines Says There’s No Letup in Fight Vs Money Laundering

(Bloomberg) -- Central bank and Justice Dept agreed on “closer working relationship” in support of President Rodrigo Duterte’s drive against suspected money launderers after initial “wrinkle,” Finance Secretary Carlos Dominguez says in e-mailed statement.
  • Bangko Sentral ng Pilipinas Governor Amando Tetangco has been providing valuable help in pursuit of money launderers
  • Central bank hasn’t been remiss but tedious legal process been a stumbling block to quick prosecution of suspected money launderers; congress must relax law ensuring secrecy of bank deposits
  • Dominguez says closer relationship to prevent another “miscommunication” between Anti-Money Laundering Council, an attached agency of BSP, and National Bureau of Investigation which is under DOJ
  • NOTE: Duterte Calls Out Central Bank, AMLC; Tells Them to Cooperate Link
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
BSNZ PM (Bangko Sentral ng Pilipinas)

People
Amando Tetangco (Bangko Sentral ng Pilipinas)
Carlos Dominguez (Philippine Deposit Insurance Corp)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: BOJ Targeting 0% With Yield Curve Control Is Credible: Redward

BOJ Targeting 0% With Yield Curve Control Is Credible: Redward

(Bloomberg) -- Bank of Japan’s policy of yield curve control is credible and the central bank has ample scope to vary purchases of JGBs to achieve its 10-year bond yield target, Peter Redward, principal at Redward Associates, says in an interview.
  • It is possible in extreme conditions for 2-year versus 10- year yield curve to invert, says Redward
  • However, it’s more likely that relative-value activity from fixed income investors and BOJ purchases will help to normalize JGB curve: Redward
  • 10-year JGB yield steady at 0.015%
  • BOJ announces first fixed-rate bond-buying operation; story here
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

People
Peter Redward (Redward Associates Ltd)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: INSIDE KOREA: Won Snaps Two-Day Advance as Stocks Fall

INSIDE KOREA: Won Snaps Two-Day Advance as Stocks Fall

(Bloomberg) -- Won halts two-day gains amid broad consolidation in Asian currencies and stocks ahead of Fed Yellen’s speech later today.
  • FX and stock markets were off to a slow start, as trading was delayed by an hour to help reduce traffic on college entrance exam day
  • Kospi index drops 0.3%, in line with broad declines in rest of the region
  • Won little changed at 1,170.93
  • USD/KRW -- consolidating below this month’s high
    • Resistance: 1,173.10, Nov. 14 high; 1,188.50, June 27 high; 1,198.05, May 31 high
    • Support: 1,158.10, Nov. 10 high (breakaway gap); 1,153.20, 200-DMA; 1,128.55, 100-DMA
  • Global funds were net buyers of 463.4b won ($395.8m) in South Korea-listed bonds on Nov. 15, according to Financial Supervisory Service data; they were net buyers of $38.4m in country’s equities on Nov. 16: exchange data
  • Yield on 1.875% govt bond due June 2026 steady at 2.09%
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: Aussie Bond Futures Leave Triple Bottom Intact on Jobs: Charts

Aussie Bond Futures Leave Triple Bottom Intact on Jobs: Charts

(Bloomberg) -- Australia 10-year bond futures bouncing from 97.290-295 triple bottom area after October employment change came in lower than estimated, writes Bloomberg strategist Mark Cranfield.
  • Futures now up 4.5 ticks to 97.435; click here for chart
  • Support: 97.290, Nov. 15 low
  • Momentum studies in oversold territory
  • Rate cut probability for December now 4%, according to OIS pricing
  • NOTE: Mark Cranfield is an FX strategist who writes for First Word. The observations he makes are his own and are not intended as investment advice.
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

To de-activate this alert, click here

UUID: 7947283

HALISTER1: USD/MYR NDF Volume Spikes to 2-Month High After BNM Warnings

USD/MYR NDF Volume Spikes to 2-Month High After BNM Warnings

(Bloomberg) -- USD/MYR NDF global volume rose to $5.4b yesterday, highest since September, according to DTCC data, after BNM warns there will be continued restrictions for avenues that could be used to support speculative activities in the currency market.
  • Click here for story
  • BNM may take action against foreign or local banks registered in Malaysia if they facilitate NDF transactions, Bernama reported separately yesterday
  • USD/MYR 1-month NDF now up 0.3% to 4.4194
  • Spot USD/MYR rises for seventh day, up 0.3% to 4.3630
  • Five-year credit-protection costs for Malaysia rose 16bps yesterday to 156bps, highest daily close since June 16, according to CMA New York data on credit-default swaps
  • NOTE: Malaysia Asks Foreign Banks to Refrain From NDF Transactions
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

To de-activate this alert, click here

UUID: 7947283