 鲜花( 3)  鸡蛋( 0)
|

楼主 |
发表于 2011-9-17 13:16
|
显示全部楼层
Current situation
7 B: ^ U! i3 N8 r, T# y+ Q The lesson we learned from the 2008-2009 credit crunch is how credit markets affect stock valuations. As long
, h1 Y( ]! c: q1 F/ u7 n6 v- c# Nas funding markets stay open, equities are valued as going concerns. But if credit markets close, markets may, L+ a4 R; q' H, D0 q7 w
impose liquidation values.% |" S- |+ O- |
 In the summer, the European credit crisis caused another round of market worries about a credit shutdown. In
1 J( e- a3 d# E- y7 \/ {$ YAugust, we said a credit shutdown was unlikely – we continue to hold that view.6 A, \( |* G! @0 }( D- c+ x4 G" Z
 The collapse of interest rates on 10-year Treasuries to 2% leaves banks, insurance companies and pension
' R; R4 Y7 {" C" @scrambling for higher yields to satisfy their obligations – this is supportive of corporate bond markets.
( P6 i( i4 m: H0 N7 F) I7 n6 u. q4 R6 ~3 O! ]0 ^
A look at credit markets
6 ~$ Y- q7 E; u) Z G Investment grade – $17 billion in new issues were placed last Wednesday. We’re expecting $80-$100 billion in
1 d, u6 U6 ?. y# {5 E; FSeptember. Non-financial investment grade is the new safe haven.
; ~; K3 c; h. B" h5 V0 L$ k High yield – In March, the spread above governments was 450 basis points, today it’s 740 bps. Yields were 7%
1 B5 p; [% w: ~8 E5 L2 p, sthen, now they are 8.5%. New issuance has been about $30 billion a month, although August saw only $1% b& R! K& q- i- O$ R N7 F
billion. That said, the market is still open. Risk has been repriced – but appropriately priced issues still have
; U( E/ a" T4 r1 i( _4 Paccess to the market. There are only two parts of the global bond market having difficulty – ultra-low-grade; i/ F$ Q# H' r _
CCC issues and European high yield, which are both down about 2.5% year-to-date. All other bond markets are1 K4 t) ?% m8 p: I/ `; E. ~
positive for the year-do-date, including high yield.* P9 \0 [* ?/ O; Z
 Mortgages – There is no funding for new construction, but existing quality properties are having no trouble1 p8 W7 Z9 g% v$ R( e
finding financing. w2 n+ b! k4 R5 q) k$ |' R
 Commercial mortgage-backed securities (CMBS) – In the summer, there were two failed transactions, but they
& D x, V3 t+ g8 h6 k2 a2 f) Swere subsequently repriced and placed. In the fall, there will be more deals.
. X6 i$ w" x0 h9 Z Leveraged floating rate collateralized loans – The index was trading at $90 last September, $96 in March and Y" {8 E0 I) C! ^" T9 l% A
is now back to $90. Changes were a result of interest rate expectations (people thought that interest rates were
0 `' W% ~0 v8 {. E$ Z5 Z9 Tgoing up) rather than liquidity. Chapter 11 companies have no problem getting secured and when they file for0 y2 k$ J2 ~ c0 x) S
bankruptcy, they already have debt financing in place.& v( U% s; S& u( B( _ ]
 European banks – European bank lending conditions are tighter. This is the weakest link in the financial chain' W8 J$ \, s; A$ ~, G
today.
0 i+ W+ i2 a9 E# X/ g( C* U/ A: n Emerging markets – Sovereign rates have rallied along with U.S. Treasuries. High-grade corporates in
/ l- ~/ G$ w5 [. n0 |emerging markets have no problem with funding. |
|