5% 25 Discussion Threads

[miata] 23/7/2010 16:16

High GDP numbers caused a bit of a fall in TR25 today.

[chairman2] 16/6/2010 16:32

I agree its looking weaker

[miata] 16/6/2010 16:31

The 70% RSI area on the above charts is the signal to take some profits.

[chairman2] 16/6/2010 16:20

looks like the money is

following the shorter dated treasuries

[miata] 25/5/2010 09:41

A good place to be at the moment, though time to lighten up, question is where would be better?

[chairman2] 21/5/2010 10:47

should have put my money behind your rec!

inflation is the worry I still have for 2010

[miata] 20/5/2010 11:11

UK DEBT MANAGEMENT OFFICE GETS 1.76 TIMES COVER AT 3.25 BLN STG SALE OF 4.75 PCT MARCH 2020 GILT.

[chairman2] 12/5/2010 21:30

Lets wait on events

its not been tested yet

[miata] 12/5/2010 10:26

British government debt was understandably rallying today on news that the Tories are back in power.

There is surely an element of risk removed by all of this.

Firstly, the ratings agencies will now be relaxed at least for a few months.

Secondly, it has been confirmed that the deficit reduction strategy will be implemented in this financial year.

Thirdly, and perhaps most importantly, the Tories have shown they are willing to make difficult tax decisions to achieve their deficit reduction.

[miata] 23/4/2010 07:16

Gilt futures hit a three-week high as stock markets fell and data showed that the Government had borrowed less than expected last month. The June gilt future settled 42 ticks higher at 114.55, outperforming the equivalent bund by ten ticks. The ten-year gilt yield fell four basis points to 3.98 per cent, narrowing the spread over bunds by one basis point.

[chairman2] 20/4/2010 15:14

contrarian says long gilts may be a stonking buy
because everyone is concentrating on sovereign risk

yield curve so steep it can only flatten??

then there is the punt on the election result

what am I saying - would anyone in their right mind
buy gilts in the next few weeks?

[miata] 18/3/2010 18:11

The U.K. government's latest gilt auction went well Thursday, with the bid-to-cover ratio moving higher from the previous tender, data from the U.K. Debt Management Office showed.

The GBP3.25 billion reopening of the 4.75% March 2020 Treasury gilt was covered 2.13 times, up from 1.78 at the previous auction of this bond, held on October 14.

Meanwhile, the yield "tail", the difference between the average and highest yields, a gauge of demand, narrowed to 0.2 basis point, versus the 0.3 bp outcome at the previous tender.

[miata] 24/2/2010 14:02

RTRS-UK DEBT MANAGEMENT OFFICE SAYS GETS 2.25 COVER RATIO AT SALE OF 3 BLN STG 3.75 PCT SEPT 2019 GILT

RTRS-UK DMO SAYS GETS 0.3 BASIS POINT YIELD TAIL AT SALE OF SEPT 2019 GILT

RTRS-UK DMO SAYS GETS 2 TICK PRICE TAIL AT SALE OF SEPT 2019 GILT

[miata] 23/2/2010 18:14

Gilts rose after Mr King said the Bank might extend its £200billion quantitative easing programme.

[miata] 10/2/2010 12:41

The Bank of England's February Quarterly Inflation Report and Mervyn King's accompanying comments indicate that the door is still very much open to further Quantitative Easing and that any interest rate hikes are some considerable way off.

[miata] 04/2/2010 12:54

UK GILT FUTURES TURN NEGATIVE AFTER BOE LEAVES QE PROGRAMME ON HOLD.

In the light of the Committee's latest Inflation Report projections and in order to keep inflation on track to meet the 2% inflation target over the medium term, the Committee judged that it was appropriate to maintain Bank Rate at 0.5% and its stock of purchases of government and corporate debt financed by the issuance of central bank reserves at £200 billion. The Committee noted that this stock of past purchases, together with the low level of Bank Rate, would continue to impart a substantial monetary stimulus to the economy for some time to come. The Committee will continue to monitor the appropriate scale of the asset purchase programme and further purchases would be made should the outlook warrant them.

The Committee's latest inflation and output projections will appear in the Inflation Report to be published at 10.30am on Wednesday 10 February.

The minutes of the meeting will be published at 9.30am on Wednesday 17 February.

[miata] 07/1/2010 12:10

The Bank of England's Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 0.5%. The Committee also voted to continue with its programme of asset purchases totalling £200 billion financed by the issuance of central bank reserves.

The Committee expects the announced programme to take another month to complete. The scale of the programme will be kept under review.

The minutes of the meeting will be published at 9.30am on Wednesday 20 January.

[miata] 29/12/2009 16:06

U.K. government bonds dropped, pushing the yield on the 10-year gilt to the highest level in more than a year, as stocks advanced.

[miata] 16/12/2009 12:36

I am and have been reducing gilts as the sovereign risk cost increases, buybacks cease and the fiscal mess (overspending) is not being controlled.

Commodities and oil appear a reasonable bet and some bank positions (HSBC had a nice recovery post rights and, though it needs close watching, so should Lloyds as the institutions will eventually want a decent return on their rump investment and should ensure they control the downside).

I had been bullish on gold, but didn't do anything about it other than monitor Randgold Resources for a possible punt - but did not find an attractive price.

Compass, AngloAmerican, Antofagasta, Vedanta, SABrewers and Pearson are doing well.

Water shares are a possible for 2010 (allowed to increase prices for inflation).

[simon gordon] 16/12/2009 12:06

Miata,

What are you doing with your capial in 2010?

Are you long gilts?

Cheers

[miata] 18/11/2009 09:50

Sterling Slips After MPC Minutes Show 3 Way QE Split.

[miata] 30/10/2009 10:33

The BofE confirmed it bought 4.200 billion pounds of gilts in the last week, taking total purchases of UK government bonds so far to 172.775 billion pounds.

[miata] 21/10/2009 12:23

Sterling hit a one-month high against the dollar and the euro and gilts extended losses on Thursday after Bank of England policy minutes were seen as less negative than some recent statements from policymakers.