News Results

  1. BULLET: US TSYS/RESEARCH: RBC analysts expected "higher".....
    Market News Intl Fixed Income Bullets | 04/24/15 04:58 PM EDT

    US TSYS/RESEARCH: RBC analysts expected "higher" US rates as "the unwind from a harsh winter is becoming more evident in the data and continued sings of a rebound should lead rates higher." They also expected a "steeper" curve and expect that the "curve/level of rates correlation to remain fairly low, but look for recent steepening to continue as investors are attracted by the carry and roll." They projected that swap spreads would see a "partial reverse in long-end spreads" and added that long-end spreads "will retrace about 10 bps of the recent tightening."

  2. BULLET: US TSYS: CRT analysts David Ader and Ian Lyngen......
    Market News Intl Fixed Income Bullets | 04/24/15 04:41 PM EDT

    US TSYS: CRT analysts David Ader and Ian Lyngen said that next week's Treasury auctions all came in "sized as expected" with $26 bn 2s, $35 bn 5s, and $29 bn 7s. "This $90 bn of gross issuance is made less daunting by the $77.9 bn of offsetting maturities, which leaves just $12.1 bn in net new issuance needed to takedown supply," they said. "That is not a record low in cash needs, but surely a factor as we look to take down this trio. Recall the elevated issuance has been a bigger factor supporting 2s and 3s than longer-dated issues."

  3. BULLET: ITALY: Fitch Ratings affirmed Italy's Long-term......
    Market News Intl Fixed Income Bullets | 04/24/15 04:22 PM EDT

    ITALY: Fitch Ratings affirmed Italy's Long-term foreign and local currency Issuer Default Ratings at 'BBB+', Stable Outlooks, and BBB+ issue ratings on Italy's sr unsecured foreign and local currency bonds', affirmed AA Country Ceiling, F2 S/T FX IDR. It said "Italy's economic growth performance is weak" but recent data underpins its "unchanged forecast since the last rating review in October 2014 that Italy will finally exit its deep and protracted recession in 2015. The recovery is supported by the combination of the ECB's monetary easing, the weaker euro, strengthening confidence and lower oil prices." But "GDP growth forecast of 0.6% in 2015 and 1% in 2016 is weak compared with other eurozone members and GDP is currently close to its 2000 value, 9% below its 2008 peak," it said. "Nominal GDP growth will strengthen only gradually after being flat between 2010 and 2014." It said Italy's "genrl govt gross debt is exceptionally high at 132% of GDP in 2014" vs. 40% BBB median. Fitch forecasts it will peak at 133% of GDP this year and remain above 120% until 2020, leaving Italy highly exposed to potential adverse shocks. Reducing the debt ratio will require a continued recovery and maintaining large primary budget surpluses."

  4. BULLET: SPAIN: Fitch affirmed affirmed Spain's Long-term.....
    Market News Intl Fixed Income Bullets | 04/24/15 04:11 PM EDT

    SPAIN: Fitch affirmed affirmed Spain's Long-term foreign and local currency IDRs at 'BBB+', with "stable" outlooks; it affirmed issue ratings on Spain's senior unsecured foreign and local currency bonds at 'BBB+'. Country Ceiling affirmed at 'AA+' and Short-term foreign currency IDR at 'F2'. Fitch said the "Spanish economy is recovering strongly, enhancing confidence in its successful adjustment within the eurozone. Growth accelerated further since the last rating review in October 2014 and reached 2% in 4Q14, over-performing not only the eurozone, but also Germany. Fitch forecasts GDP growth, driven predominantly by domestic demand, to reach 2.5% this year and 2.3% in 2016, an upward revision of 0.8pp and 0.4pp, respectively." It said "both external and domestic factors support the recovery" with "positive feedback loop has evolved between improving confidence, fuelled by easing financial conditions, higher employment, benefiting from earlier labor market reforms, and growing household consumption."

  5. BULLET: US TSYS: Treasuries see more buying late; 10-year....
    Market News Intl Fixed Income Bullets | 04/24/15 03:52 PM EDT

    US TSYS: Treasuries see more buying late; 10-year note is at 1.910%, 2-year is at 0.508% and 30-year bond is at 2.611%.

  6. BULLET: US TSYS: Commodity Futures Trading...................
    Market News Intl Fixed Income Bullets | 04/24/15 03:45 PM EDT

    US TSYS: Commodity Futures Trading Commission/Commitment of Traders data for the period ending April 21 has been released. Except for 2- and 5-year notes, the latest report showed large speculative accounts sold across the curve (paring longs or adding to existing shorts). In the short end, large speculative accounts added to net shorts in Fed fund futures by -10,630 to finish -127,751, and pared net longs in Eurodollar futures by -27,552 to finish +481,133. In notes, the group added net longs in the 2-year by +20,685 to finish +178,831, and pared net shorts in the 5-year note by +47,153 to finish -21,494. The group added net shorts in the 10-year note by -41,463 to finish -153,366. In the long end, the group pared net longs in the 30-year Bond by -21,675 to +4,774, and added to a net short in the Ultra-bond by -1,295 to finish -36,647.

  7. BULLET: US TSYS SUMMARY: Pt II: 1) Tsys afternoon saw mild...
    Market News Intl Fixed Income Bullets | 04/24/15 03:37 PM EDT

    US TSYS SUMMARY: Pt II: 1) Tsys afternoon saw mild safe-haven bid on Greek worries, evacuation of Statue of Liberty & Liberty Island on suspicious package probe;later declared no threat 2)Bloomberg says Austrian bank Oesterreichische Volksbanken AG will spin off E7.1B (US$7.7B) in assets into "bad bank" 3) Tsy sells $26B 2Y Mon, $35B 5Y Tue, $15B 2Y FRN & $29B 7Y Wed;settle Thu (4/30); - Treasuries ended Fri 3:00 p.m. ET from Thursday 3:00 p.m. ET: - The 2-year note ended at 0.512% (99-312) from 0.532% (99-30) - The 3-year note ended at 0.838% (99-236) from 0.870% (99-206) - The 5-year note ended at 1.322% (100-08) from 1.359% (100-02+) - The 7-year note ended at 1.671% (100-16+) from 1.702% (100-10) - The 10-year note ended at 1.916% (100-24) from 1.947% (100-15) - The 30-year bond ended at 2.617% (97-19) from 2.636% (97-06+) - The 2/5-year curve flattened to 81 bps from +82.7 bps - The 2/10-year curve flattened to +140.4 bps from +141.5 bps - The 2/30-year curve steepened a bit to +210.5 bps from +210.4 bps - The 5/30-year curve steepened to +129.5 bps from +127.7 bps

  8. BULLET: OUTLOOK: US Data Cal for Monday- 27-Apr 0945 ...
    Market News Intl Fixed Income Bullets | 04/24/15 03:30 PM EDT

    OUTLOOK: US Data Cal for Monday- 27-Apr 0945 Apr Markit Services PMI (flash) 27-Apr 1030 Apr Dallas Fed Mfg Survey

  9. BULLET: US TSYS SUMMARY: Treasuries gained Fri after 1)......
    Market News Intl Fixed Income Bullets | 04/24/15 03:15 PM EDT

    US TSYS SUMMARY: Treasuries gained Fri after 1) Morning short-covering rally on weaker-than-expected 4% US March durable goods, -0.2% ex-transport 2) That surprised dealers who set shorts into next week's 2/5/7Y auctions so they rushed to cover 3) Tsys saw mild morning, afternoon safe-haven buying on weekend Greek event risk 4) Sellers dried up 5) 2Y notes, Eurodollar futures saw buying as some delayed dates for first US rate hikes; 6) Hedge fund buying in June 5Y Tsy futures; 7) Other bullish factors: expected month-end buying, wknd risk, Greece, some flatteners pre-supply; 8) Tsys began firm then early pre-durables shorts or sales 9) US interest rate swaps saw relief as long end stopped its collapse, with some 8Y, 10Y Receivers and milder receivers in front end; spread widening on absence of large receiving; 10) Some sold UK Gilts to buy German Bunds; 11) June 10Y Bund futures gained into European close for weekend on mild FTQ buying as Greek 10Y spread vs. German debt widened by 33.5 bps to +1332 bps (More)

  10. BULLET: US TSY FUTURES CLOSE: Tsys end higher/flatter........
    Market News Intl Fixed Income Bullets | 04/24/15 03:03 PM EDT

    US TSY FUTURES CLOSE: Tsys end higher/flatter after a midday risk-off induced pop. Jun Ultra bonds close up 17/32 at 168-06 with 55K traded Jun 30Y bonds were up 17/32 at 162-18 with 180K traded Jun 10Y notes were up 8/32 at 129-12.5 with 959K traded Jun 5Y note were up 6.25/32 at 120-20.5 with 461K traded Jun 2Y note were up 2/32 at 109-23.25 with 171K changing hands.

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

fir_news_results