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发表于 2011-9-17 13:16
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Current situation L5 }0 |: @) J( S6 C; D! I- `
 The lesson we learned from the 2008-2009 credit crunch is how credit markets affect stock valuations. As long
- [& o8 B( v8 H. z9 ]' b* zas funding markets stay open, equities are valued as going concerns. But if credit markets close, markets may
! Z6 ^0 a3 r* E Q. m4 p5 kimpose liquidation values.: W7 a: a. v: q! | n! K/ ^/ e
 In the summer, the European credit crisis caused another round of market worries about a credit shutdown. In
: Z1 [+ X& h3 |7 _1 I5 F2 yAugust, we said a credit shutdown was unlikely – we continue to hold that view.
2 t- @7 }1 B- e The collapse of interest rates on 10-year Treasuries to 2% leaves banks, insurance companies and pension: _0 u. X0 h7 ^" M0 \
scrambling for higher yields to satisfy their obligations – this is supportive of corporate bond markets.
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6 ~: S" g- \" NA look at credit markets
9 x: @9 p5 @: i) Y: D Investment grade – $17 billion in new issues were placed last Wednesday. We’re expecting $80-$100 billion in$ u, \+ F' o9 j+ u2 f' X
September. Non-financial investment grade is the new safe haven.; u- f2 l. F* i
 High yield – In March, the spread above governments was 450 basis points, today it’s 740 bps. Yields were 7%# K' q) R( m* M7 j" E' T2 d
then, now they are 8.5%. New issuance has been about $30 billion a month, although August saw only $1
% ^7 y. h. W! N+ ]* x7 J1 Mbillion. That said, the market is still open. Risk has been repriced – but appropriately priced issues still have
% @; @. Q% O, w& waccess to the market. There are only two parts of the global bond market having difficulty – ultra-low-grade
3 R+ l+ ]; {2 {% n- |9 E+ r. F0 `CCC issues and European high yield, which are both down about 2.5% year-to-date. All other bond markets are
1 V( l3 b1 _: q. T qpositive for the year-do-date, including high yield.9 U @2 V0 z8 A7 H u
 Mortgages – There is no funding for new construction, but existing quality properties are having no trouble
1 e2 z# J! p8 Q1 X: E$ ]finding financing.1 Z4 p* E2 l! v8 U1 I5 ^
 Commercial mortgage-backed securities (CMBS) – In the summer, there were two failed transactions, but they! H0 ]/ k. P& C/ [: }$ l8 w
were subsequently repriced and placed. In the fall, there will be more deals.2 k4 X. K I/ e5 J, ]
 Leveraged floating rate collateralized loans – The index was trading at $90 last September, $96 in March and" Q |$ T/ a) x& m$ E/ G% n0 G) u* R
is now back to $90. Changes were a result of interest rate expectations (people thought that interest rates were
' t0 ~& q+ X1 ugoing up) rather than liquidity. Chapter 11 companies have no problem getting secured and when they file for
4 J' g. ^. y0 ^7 v1 tbankruptcy, they already have debt financing in place.
" U" x! y) J4 B9 Z$ y European banks – European bank lending conditions are tighter. This is the weakest link in the financial chain
1 T# Y: T9 j: jtoday.- e8 K. d) D& V7 A; |( m) V4 ?" I" ?/ }1 U
 Emerging markets – Sovereign rates have rallied along with U.S. Treasuries. High-grade corporates in
# l. r/ o/ v2 u: `4 j9 R, hemerging markets have no problem with funding. |
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