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发表于 2011-9-17 13:16
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Current situation+ n9 B- K! {7 g) {
 The lesson we learned from the 2008-2009 credit crunch is how credit markets affect stock valuations. As long
/ J1 y2 K! ]/ |1 `+ j4 Fas funding markets stay open, equities are valued as going concerns. But if credit markets close, markets may
! y' `6 e, j1 u. @impose liquidation values.
) C; U! f2 `' ?* X5 P( n In the summer, the European credit crisis caused another round of market worries about a credit shutdown. In+ h- z5 e" I1 v$ }# K
August, we said a credit shutdown was unlikely – we continue to hold that view.8 V6 W3 }- h, Z& Q% [# I+ X" s
 The collapse of interest rates on 10-year Treasuries to 2% leaves banks, insurance companies and pension, p Q$ o+ L+ U' E
scrambling for higher yields to satisfy their obligations – this is supportive of corporate bond markets.
; W2 ^ K7 L$ a& K* |3 T) ]
1 j% e0 z$ K" P8 N: QA look at credit markets
: O0 P) P* R! M2 _2 j8 G Investment grade – $17 billion in new issues were placed last Wednesday. We’re expecting $80-$100 billion in
4 G- c7 X4 L/ cSeptember. Non-financial investment grade is the new safe haven.
4 {; r/ {. e! k3 O! X High yield – In March, the spread above governments was 450 basis points, today it’s 740 bps. Yields were 7%
! X! r# q( B3 Rthen, now they are 8.5%. New issuance has been about $30 billion a month, although August saw only $1
+ f P4 Z f+ i5 V3 w5 Rbillion. That said, the market is still open. Risk has been repriced – but appropriately priced issues still have
4 j% L' }8 [( x# l& H3 jaccess to the market. There are only two parts of the global bond market having difficulty – ultra-low-grade: \" _/ f" ^1 r& m7 l
CCC issues and European high yield, which are both down about 2.5% year-to-date. All other bond markets are
. M1 Q% E5 K( r4 ^2 tpositive for the year-do-date, including high yield.; C4 r& q2 V0 _% l3 V
 Mortgages – There is no funding for new construction, but existing quality properties are having no trouble- o5 M- c" x6 Y( B* L
finding financing.4 W1 E3 t4 Z' k7 L0 O0 ~. l" |
 Commercial mortgage-backed securities (CMBS) – In the summer, there were two failed transactions, but they0 m! b3 x e3 j6 G
were subsequently repriced and placed. In the fall, there will be more deals.
: J& M$ {) C ` p6 o( d( m Leveraged floating rate collateralized loans – The index was trading at $90 last September, $96 in March and
# A& l o4 z! R. his now back to $90. Changes were a result of interest rate expectations (people thought that interest rates were
6 a! T' l2 z: B" w1 G7 ?going up) rather than liquidity. Chapter 11 companies have no problem getting secured and when they file for" ]: h, C1 t O. ~- K# O1 X# L' K O
bankruptcy, they already have debt financing in place.
) f0 z d! n0 X' g. z& W European banks – European bank lending conditions are tighter. This is the weakest link in the financial chain$ i% O" k8 E1 t2 |* }
today.# Q6 d- {9 L( R
 Emerging markets – Sovereign rates have rallied along with U.S. Treasuries. High-grade corporates in
1 Q" |' v+ {1 V' @emerging markets have no problem with funding. |
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