Emerging Markets Companion

Home |   Asset Prices | News & Global Markets | Research | Search

 Credit Lyonnais Securities (USA)

Brady Bond Trading Recap

contributed by Credit Lyonnais Securities (USA) Inc.

Monday, January 3 2000

Daily Brady Bond Trading Commentary

Emerging market debt prices soared Monday morning, lifted by an uneventful transition into Y2K and Boris Yeltsin's timely resignation. Profit-taking in U.S. stocks and continued selling of Treasuries helped to cool the enthusiasm for Latin debt, which was well off its highs by the day's end. Positive returns on Latin stocks and bonds in 1999 have attracted much attention in the press and among Wall Street analysts, and should help to attract capital in the early part of this year. But while spreads have contracted some 200 bps in the past two months, much of the move has been on little volume. We believe fund managers may look for the market to consolidate before plunging in. The February FOMC meeting looms, and, at current levels, the Latin debt market can anticipate plenty of new supply from sovereign and corporate issuers.
This report was prepared by Credit Lyonnais Securities (USA) Inc. The information and statistical data herein have been obtained from sources we believe to be reliable but in no way are warranted by us as to accuracy or completeness. Returns set forth in this report are estimates based on internal assumptions, and any changes in these assumptions may have material impact on such estimated returns. This is not a solicitation or any offer to buy or sell securities. We, our affiliates, and any officer, director or stockholder or any member of their families, may have a position in and may from time to time purchase or sell any of the above mentioned or related securities.
 

| Home | Asset Pricing | News & Analysis | Research | Related Sites | Table of Contents | Search

We welcome your comments, opinions, and submissions to EMC.
Please write us at feedback@emgmkts.com

Copyright © 1996-2000, The Emerging Markets Companion, and/or its licensors. All Rights Reserved. The information herein was obtained from sources which The Emerging Markets Companion, Inc. and its suppliers believe reliable, but they do not guarantee its accuracy. Neither the information, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any securities or commodities. Please read our full disclaimer.