Posts tagged 'Repo Market'

Are you there hedge funds? It’s me, JPMorgan

Are you a hedge fund with a prime broker who happens to be a large bank?

Are you worried that said prime broker will no longer be able to make a lot of money from doing business with you, because of new banking regulation such as the liquidity coverage ratio (LCR), the net stable funding ratio (NSFR) or various types of leverage ratios?

Well, then JPMorgan Chase has some advice for you! Read more

LTRO repayment bifurcation risk

The first LTRO repayment opportunity is fast approaching. David has already considered how it may or may not impact European lending rates, including the chances of Eonia rising significantly if the repayment is larger than expected.

Yet as we also noted, this is hardly the key concern. Read more

A reason to be bullish short-term USTs

What we love about Bank of America Merrill Lynch’s ‘Liquid Insight’ team is that when they make calls on Treasuries and rates, they account for the impact of collateral markets and the repo effect — not to mention the general shortage of safe assets.

Take the following chart from their latest note: Read more