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发表于 2011-9-17 13:16
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Current situation% ?1 H0 x$ {0 x$ q
 The lesson we learned from the 2008-2009 credit crunch is how credit markets affect stock valuations. As long3 }$ J0 f0 @) k5 [5 ^" s6 q7 R
as funding markets stay open, equities are valued as going concerns. But if credit markets close, markets may3 x5 |" z" m$ ]1 v8 r
impose liquidation values.9 k5 U/ N/ P [) \
 In the summer, the European credit crisis caused another round of market worries about a credit shutdown. In
, u7 U8 h3 N0 u0 R* L! jAugust, we said a credit shutdown was unlikely – we continue to hold that view./ X# j5 h8 a1 q0 g) l
 The collapse of interest rates on 10-year Treasuries to 2% leaves banks, insurance companies and pension
; T$ t0 r( u* `, Tscrambling for higher yields to satisfy their obligations – this is supportive of corporate bond markets.
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A look at credit markets; V. b2 ?1 q$ v0 V
 Investment grade – $17 billion in new issues were placed last Wednesday. We’re expecting $80-$100 billion in
/ f( a) Q9 e. n% W/ j* xSeptember. Non-financial investment grade is the new safe haven.
6 Z, f4 ]; y; E5 n. p7 |5 f High yield – In March, the spread above governments was 450 basis points, today it’s 740 bps. Yields were 7%# ~: T8 g6 b4 Z# m) ^
then, now they are 8.5%. New issuance has been about $30 billion a month, although August saw only $1* A4 ?4 }7 X9 c0 l7 V% {) o2 Z
billion. That said, the market is still open. Risk has been repriced – but appropriately priced issues still have9 p! K |; ?8 J# U2 U7 w* B' B
access to the market. There are only two parts of the global bond market having difficulty – ultra-low-grade7 o2 A% M( U' t* t% e' d9 h' X- f3 v
CCC issues and European high yield, which are both down about 2.5% year-to-date. All other bond markets are
) v7 \! [2 z8 N4 e8 E7 n. k9 ^positive for the year-do-date, including high yield.& H5 l1 C. W4 u6 a; Z) f
 Mortgages – There is no funding for new construction, but existing quality properties are having no trouble
" q& n, \5 L3 D6 Hfinding financing.4 w1 p- ?1 |/ S
 Commercial mortgage-backed securities (CMBS) – In the summer, there were two failed transactions, but they' |2 M, [8 h7 R' s2 K: A
were subsequently repriced and placed. In the fall, there will be more deals.
5 R0 k; c% {0 [& ~ Leveraged floating rate collateralized loans – The index was trading at $90 last September, $96 in March and
8 e6 W8 b1 U+ J+ v( r& A3 `is now back to $90. Changes were a result of interest rate expectations (people thought that interest rates were
$ Z! |% @( q) m# O7 u* q7 M3 Vgoing up) rather than liquidity. Chapter 11 companies have no problem getting secured and when they file for
& Y8 C& S" t# U* [: E& y+ tbankruptcy, they already have debt financing in place.
. t, @4 j1 ~+ [! q European banks – European bank lending conditions are tighter. This is the weakest link in the financial chain8 t: ?. m* K1 p
today.0 R, p% P b" D# \# c
 Emerging markets – Sovereign rates have rallied along with U.S. Treasuries. High-grade corporates in
, {/ p4 ~. V$ d. W; n c+ H% Remerging markets have no problem with funding. |
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