HALISTER1: DuPont Stays Overweight on Venezuelan, Ukrainian Debt

DuPont Stays Overweight on Venezuelan, Ukrainian Debt

(Bloomberg) -- Dollar debt from Russia, Hungary, Kenya and Belarus became more attractive in 1Q while bonds from 14 emerging markets including Iraq, Colombia and Nigeria became less attractive, DuPont Capital says in an e-mailed report.
  • NOTE: DuPont says picks based on an internal credit model
  • Debt from 18 nations including Argentina, Turkey, Ukraine, Greece, Belize and Venezuela is undervalued
  • Debt from Poland, Philippines, Qatar, Thailand, Morocco and Ecuador among 29 overvalued sovereigns
  • Maintaining durations slightly shorter than benchmark across most credit portfolios as interest rates likely to rise slightly this year
  • Corporates have best value in investment grade credit

Alert: HALISTER1
Source: BFW (Bloomberg First Word)

To de-activate this alert, click here
To modify this alert, click here

UUID: 7947283

HALISTER1: Gilt Yields Nearing 1% May Spell Fatigue as Inflation Risk Looms

Gilt Yields Nearing 1% May Spell Fatigue as Inflation Risk Looms

Alert: HALISTER1
Source: BN (Bloomberg News)

People
Jason Simpson (Societe Generale SA)
Lyn Graham-Taylor (Rabobank International)
Michael Amey (Pacific Investment Management Co LLC)
Orlando Green (Credit Agricole SA)
Peter Chatwell (Mizuho Financial Group Inc)

To de-activate this alert, click here
To modify this alert, click here

UUID: 7947283

HALISTER1: U.S. ECO PREVIEW: Factory Orders Due in 5 Minutes

U.S. ECO PREVIEW: Factory Orders Due in 5 Minutes

(Bloomberg) -- Following are forecasts for today’s U.S. economic releases as compiled by Bloomberg News:
  • Factory Orders 1% m/m; range 0.5% to 1.3% (55 estimates)
    • "Expectations for manufacturing are high, but no substantive tax or trade policies have been announced by the Trump administration yet": Bloomberg Intelligence
    • Factory orders posted back-to-back gains in January and December

Alert: HALISTER1
Source: BFW (Bloomberg First Word)

To de-activate this alert, click here
To modify this alert, click here

UUID: 7947283

HALISTER: Staples Said to Weigh Possible Sale of Co. to Private Equity:WSJ

Staples Said to Weigh Possible Sale of Co. to Private Equity:WSJ

(Bloomberg) -- Co. exploring sale to private equity firms, WSJ reporter says in Twitter post, without attribution.
  • Typical takeover premium could value Staples at roughly $7b: DJ
  • NOTE: Staples up as much as 14.5%, Office Depot up as much as 7.5%

Alert: HALISTER
Source: BFW (Bloomberg First Word)

Tickers
SPLS US (Staples Inc)
ODP US (Office Depot Inc)

To de-activate this alert, click here
To modify this alert, click here

UUID: 7947283

HALISTER1: Gilts Eye 1% as Yield Approaches Consecutive Close Below 200-DMA

Gilts Eye 1% as Yield Approaches Consecutive Close Below 200-DMA

(Bloomberg) -- U.K. 10-year yield is bracing for further declines below 1% if today it can confirm a back-to-back close below its long-term average line at 1.08%, Bloomberg technical analyst Sejul Gokal writes.
  • See chart here; Gilt 10-year yield at 1.05%
  • Yield on track to test 1.02% support which would pare by 50% the entire August to December 104bps steepening phase
  • Back-to-back close below 200-DMA at 1.08% would strengthen the upside case for gilts and revert attention on the ~95bps yield support (September high)
  • Additional support seen at 92-90bps, the 61.8% Fibonacci retracement of the August-December steepening phase and trend- channel lower band drawn from January
  • Yield resistance and risk zone for bulls seen at 113-115bps
  • U.K. 2/10 curve slipping below its 200-DMA at 94bps, first time since October with move driven by long-end outperformance
    • NOTE: March 23, Gilt 2/10 Curve May Flatten to 200-DMA at 93bps, Technicals Show
  • GBP OIS forward markets show decreasing bets on a rate hike by mid-2018. The implied odds of a 25bps increase by June 2018 have fallen from 88% observed in late March to 36% today (assuming 4bps Sonia-base rate corridor)
  • NOTE: Sejul Gokal is a technical strategist who writes for Bloomberg. 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
To modify this alert, click here

UUID: 7947283