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European Banking Monitor: European Financial Swaps Mostly Tighter

Below are key European banking risk monitors, which are included as part of Josh Steiner and the Financial team's "Monday Morning Risk Monitor".  If you'd like to receive the work of the Financials team or request a trial please email .

 

Key Takeaways:

 

*Sovereign Swaps around the world were largely flat week-over-week with the largest single move coming from Ireland, where swaps tightened 28 bps to 253 bps. Spain and Portugal saw their swaps widen by 4 and 8 bps, respectively, while France and Italy saw their swaps tighten by 4 and 8 bps, respectively.

 

On OMTs Reporting: The ECB has stated that Aggregate Outright Monetary Transaction holdings and their market values will be published on a weekly basis and the average duration of Outright Monetary Transaction holdings and the breakdown by country will take place on a monthly basis. There is no indication that the OMTs has been initiated to date.

 

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If you’d like to discuss recent developments in Europe, from the political to financial to social, please let me know and we can set up a call.

 

Matthew Hedrick

Senior Analyst

 

(o)

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European Financials CDS Monitor – It was a fairly uneventful week for default swap action on European banks. The trend was broadly lower (swaps tightened) with a median improvement of 10 bps WoW, and an average decline of 6 bps. Overall, 28 out of 37 European reference entities we track tightened.

 

European Banking Monitor: European Financial Swaps Mostly Tighter - 11. banks

 

Euribor-OIS spread – The Euribor-OIS spread tightened by 1 bp to 12 bps, and continues to make new, multi-year lows. The Euribor-OIS spread (the difference between the euro interbank lending rate and overnight indexed swaps) measures bank counterparty risk in the Eurozone. The OIS is analogous to the effective Fed Funds rate in the United States.  Banks lending at the OIS do not swap principal, so counterparty risk in the OIS is minimal.  By contrast, the Euribor rate is the rate offered for unsecured interbank lending.  Thus, the spread between the two isolates counterparty risk. 

 

European Banking Monitor: European Financial Swaps Mostly Tighter - 11. euribor

 

ECB Liquidity Recourse to the Deposit Facility – This series has been generally trending lower since July of this year. The ECB Liquidity Recourse to the Deposit Facility measures banks’ overnight deposits with the ECB.  Taken in conjunction with excess reserves, the ECB deposit facility measures excess liquidity in the Euro banking system.  An increase in this metric shows that banks are borrowing from the ECB.  In other words, the deposit facility measures one element of the ECB response to the crisis.  

 

European Banking Monitor: European Financial Swaps Mostly Tighter - 11. facility


Taking Risks

TAKING RISKS

 

 

CLIENT TALKING POINTS

 

TAKING RISKS

When Felix Baumgartner dove from the edge of space yesterday for the Red Bull Stratos event, he certainly knew the risks involved and how to manage them accordingly. Risk management is a process that can be applied outside of financial markets and Baumgartner’s endeavor is indicative of that. 

 

Looking at our signals for the various asset classes we cover this morning, we’ll continue to trade things like gold in the $1 range and the S&P 500 between 1. Staying within your parameters is the key to success - be it the market or jumping out of a balloon 24 miles high in the sky.

 

 

GETTING IT RIGHT

As we’ve said before: get the US dollar right and you’ll get a lot of other things right. That is the case early this morning as the US dollar made a move to the upside, taking commodity prices down with it. Oil, gold and the euro have all fallen materially and should the dollar have some more chutzpah in it to travel higher, expect more downside for commodities. After all, some commodities took a beating last week with copper down -2.2% and gold down -1.4%. Remember the Bernanke Correlation. The Fed is busy devaluing the dollar and driving up commodity prices. When the Fed is out of bullets and pondering what to do next and if Mitt Romney is elected President, there's a chance we could actually get back to strengthening our currency on a long-term basis.

 

_______________________________________________________

 

ASSET ALLOCATION

 

Cash:                Flat

 

U.S. Equities:   DOWN

 

Int'l Equities:   Flat   

 

Commodities: Flat

 

Fixed Income:  UP

 

Int'l Currencies: Flat  

 

 

_______________________________________________________

 

TOP LONG IDEAS

 

BRINKER INTL (EAT)

Remains our top long in casual dining as new sales layers (pizza) and strong-performing remodels (~5% comps) should maintain sales momentum. The company is continuing to enhance returns for shareholders through share buybacks . The stock trades at a discount to DIN (7.7x vs 9.3x EV/EBITDA) and in line with the group at 7.3x.

  • TRADE:  LONG
  • TREND:  LONG
  • TAIL:      LONG            

 

PACCAR (PCAR)

Emissions regulations in the US focusing on greenhouse gases should end the disruptive pre-buy cycle and allow PCAR to improve margins. Improved capacity utilization, truck fleet aging, and less volatile used truck prices all should support higher long-run profitability. In the near-term, Paccar may benefit from engine certification issues at Navistar, allowing it to gain market share. Longer-term, Paccar enjos a strong position in a structurally advantaged industry and an attractive valuation.

  • TRADE:  LONG
  • TREND:  LONG
  • TAIL:      LONG

 

HCA HOLDINGS (HCA)

While political and reimbursement risk will remain near-term concerns, on the fundamental side we continue to expect accelerating outpatient growth alongside further strength in pricing as acuity improves thru 1Q13. Flu trends may provide an incremental benefit on the quarter and our expectation for a birth recovery should support patient surgery growth over the intermediate term. Supply costs should remain a source of topline & earnings upside going forward.

  • TRADE:  NEUTRAL
  • TREND:  LONG
  • TAIL:      LONG

  

_______________________________________________________

 

THREE FOR THE ROAD

 

TWEET OF THE DAY

“What have we learned? Deadly beast? $222 trillion notional derivatives now held by FDIC insured US banks vs $201 trillion when Lehman failed” -@Convertbond

 

 

QUOTE OF THE DAY

“Silent gratitude isn't very much use to anyone.” -Gertrude Stein

                       

 

STAT OF THE DAY

128,000 feet above earth. The distance Felix Baumgartner jumped from his capsule setting new world records in the Red Bull Stratos event.

 

 


THE HEDGEYE DAILY OUTLOOK

TODAY’S S&P 500 SET-UP – October 15, 2012


As we look at today’s set up for the S&P 500, the range is 26 points or -0.67% downside to 1419 and 1.15% upside to 1445. 

                                            

SECTOR AND GLOBAL PERFORMANCE


THE HEDGEYE DAILY OUTLOOK - 1

 

THE HEDGEYE DAILY OUTLOOK - 2

 

THE HEDGEYE DAILY OUTLOOK - 3

 

THE HEDGEYE DAILY OUTLOOK - 9

 

 

EQUITY SENTIMENT:

  • ADVANCE/DECLINE LINE: on 10/12 NYSE -830
    • Decrease versus the prior day’s trading of 909
  • VOLUME: on 10/12 NYSE 624.50
    • Decrease versus prior day’s trading of -3.43%
  • VIX:  as of 10/12 was at 16.14
    • Increase versus most recent day’s trading of 3.53%
    • Year-to-date decrease of -31.03%
  • SPX PUT/CALL RATIO: as of 10/12 closed at 2.13
    • Up from the day prior at 1.72

CREDIT/ECONOMIC MARKET LOOK:


BONDS – US Treasuries don’t care much for the up EuroStoxx, up SP Futures thing; 10yr yield hasn’t budged a beep this morning after falling back to 1.66% from 1.74% last week. Lower-highs US stocks as bonds make higher-lows. #GrowthSlowing, globally.

  • TED SPREAD: as of this morning 23.25
  • 3-MONTH T-BILL YIELD: as of this morning 0.10%
  • 10-Year: as of this morning 1.67%
    • Increase from prior day’s trading of 1.66%
  • YIELD CURVE: as of this morning 1.41
    • Up from prior day’s trading at 1.40

MACRO DATA POINTS (Bloomberg Estimates)

  • 8am: Fed’s Lacker at NABE in New York
  • 8:30am: Empire Manufacturing, Oct., est. -4.8 (prior -10.41)
  • 8:30am: Advance Retail Sales, Sept., est. 0.8% (prior 0.9%)
  • 8:30am: Retail Sales Ex-Autos, Sept., est. 0.6% (prior 0.8%)
  • 10am: Business Inventories, Aug., est. 0.5% (prior 0.8%)
  • 11am: Fed to buy $4.25b-$5.25b notes due 10/31/2018-8/15/2020
  • 11:30am: U.S. to sell $32b 3-month bills, $28b 6-month bills
  • 12:45pm: Fed’s Dudley in Virginia on economy
  • 1:10pm: Fed’s Bullard in St. Louis on economy
  • 8:30pm: Fed’s Williams in San Francisco on economy

 GOVERNMENT:

    • House, Senate not in session
    • Congressional candidates, political action committees file quarterly report to Federal Election Commission, as will Romney Victory, the joint fundraising committee for GOP nominee Mitt Romney, Republican National Committee, state parties
    • U.S. Chamber of Commerce unveils International Index of Energy Security Risk on global markets, 9am

WHAT TO WATCH:

  • Softbank agreed to pay $20.1b to buy a 70% stake in Sprint
  • U.S. retail sales probably rose in Sept. for a 3rd month
  • Greece’s 10-yr yield falls to lowest since debt restructuring
  • China’s exports, money supply grew more than est. in Sept.
  • Japan said to plan $2.5b Renesas bid as early as Nov.
  • Bank of Israel Governor Stanley Fischer said the world is “awfully close” to a recession
  • “Taken 2” top movie for 2nd weekend with sales of $22.5m
  • Douglas Holding receives $1.9b bid from Advent-controlled companies
  • Apple appeals Tokyo court ruling on Samsung patent case
  • Lifetech Scientific Investor sells 19% stake for HK361m
  • Credit card monthly charge-offs, delinquencies to be released
  • Verizon begins defense of $9.5b trial on Idearc spinoff
  • Nike, RadioShack, Anheuser-Busch Stand by Armstrong: FT

 EARNINGS:

    • Citigroup (C) 8am, $0.97 - Preview
    • Gannett (GCI) 8:30am, $0.53
    • Charles Schwab (SCHW) 8:45am, $0.17
    • Packaging Corp. of America (PKG) 5pm, $0.56
    • Valmont Industries (VMI) 5:30pm, $2.05
    • Brown & Brown (BRO) After-mkt, $0.35

COMMODITY/GROWTH EXPECTATION (HEADLINES FROM BLOOMBERG)    

  • Oil Trades Near Four-Day Low Amid Global Economic Growth Concern
  • Bullish Wagers Drop to Eight-Week Low Before Rally: Commodities
  • Copper Erases Decline as Buyers in Europe Take Advantage of Drop
  • European Naphtha Cargoes Shipped to Asia Set to Rise in October
  • Gold Declines With Commodities; Silver Falls to a One-Month Low
  • Soybeans Drop Below $15 for First Time Since July as Crops Slide
  • Cocoa Falls Before U.S., Europe Processing Data; Sugar Retreats
  • LME’s O’Hegarty Says a Lot of Regulation Happening in ‘Hurry’
  • U.S. Plunge in Gas Drilling Means $1 Billion Lost Profit: Energy
  • China Boosts Soybean Imports as Reduced Supplies Spur Purchases
  • Qatar Is Favorable to Glencore-Xstrata Deal, Prime Minister Says
  • Potash Inventory Up 50% in Brazil, 33% in India Through August
  • Silver to Extend Drop Before Rally Resumes: Technical Analysis
  • Tropical Storm Rafael Nears Hurricane Strength in Atlantic
  • LME’s Martin Abbott Expects Record Trading Volume This Year

THE HEDGEYE DAILY OUTLOOK - 4

 

 

CURRENCIES

 

THE HEDGEYE DAILY OUTLOOK - 5

 

 

 

EUROPEAN MARKETS


GERMANY – snapped TRADE line support of 7316 last wk and is struggling to get back above that this  morn despite the no-volume rally in European Equities to start the wk; EuroStoxx600 was -1.7% last wk and we’ve seen these Monday rallies in Europe fade in recent weeks, so watching levels here will be important.

 

THE HEDGEYE DAILY OUTLOOK - 6

 

 

ASIAN MARKETS


KOSPI – continued to struggle overnight, down another –0.4% and at 1925 is now decisively below our 1976 TRADE line of resistance; like Tech (XLK), which is down -3.5% in the last mth, this is a new growth scare for what was working.

 

THE HEDGEYE DAILY OUTLOOK - 7

 

 

MIDDLE EAST


THE HEDGEYE DAILY OUTLOOK - 8

 

 

 

The Hedgeye Macro Team

 

 

 

 

 


Hedgeye Statistics

The total percentage of successful long and short trading signals since the inception of Real-Time Alerts in August of 2008.

  • LONG SIGNALS 80.64%
  • SHORT SIGNALS 78.61%

Insanely Great

This note was originally published at 8am on October 01, 2012 for Hedgeye subscribers.

“This country is insanely great.”

-Steve Jobs

 

That’s what Steve Jobs told President Obama at a fundraising dinner in California in February of 2011. He went on to add that what he was worried about “is that we don’t talk enough about solutions.”

 

I disagree with Jobs on the 2nd part of that statement. America’s academic and political elite talk plenty about solutions. What worries me is that they’re always talking about government solutions.

 

Jobs’ aforementioned quote comes at the end of the Introduction in The 4% Solution where James Glassman writes “that government needs to get out of the way of enterprise for growth to take off.” I like that. What I don’t like is that the rest of the book goes on and on about more ways the government can help.

 

Back to the Global Macro Grind

 

To review last week’s US Economic data: Big Government Intervention continues to A) shorten economic cycles and B) amplify market volatility. The stock market isn’t the economy.

 

If you think the stock market is the economy, we’ll that didn’t look very healthy last week either. It was the biggest down week for stocks since June and, since Bernanke’s most recent Policy To Inflate top, US stocks are down for 8 of the last 10 days.

 

Why? Economic Gravity can’t be “smoothed” away by government solutions:

  1. US GDP Growth for Q2 of 2012 was reported last week 69.27% lower than where it was 6 months ago
  2. Chicago’s Purchasing Managers Index (PMI) report for SEP dropped -6.2% mth-over-mth in SEP to 49.7
  3. Within the PMI report, New Orders and Employment dropped from 54.8 and 57.1, to 47.4 and 52, respectively

Whether you want to talk to me about Q2 or the last month of Q3, from a US growth perspective, that’s just nasty. On the inflation front, the news wasn’t much better. Prices Paid (within the same PMI report for September) ripped higher from 57 to 63.2!

 

Repeat after me: Policies To Inflate Slow Growth. Period.

 

Plenty a Keynesian academic advisor to Obama will continue to hide from that 1970s like conclusion, until they can’t. Maybe that’s why Romney is finally distancing himself from Harvard Keynesian Economist (and advisor) Greg Mankiw this morning.

 

The #2 Most Read story on the Economy tab of Bloomberg.com this morning: “Romney Bashing Bernanke Rejects Mankiw’s Monetary Views.” That doesn’t mean Romney is going to be President. It just means he just found a way to land a punch.

 

Back to the US Economic Data. Here’s how US GDP Growth fell -69.27% in the last 6 months:

  1. Headline quarterly GDP fell from 4.10% in Q411 to 1.26% in Q212
  2. Consumer Goods fell from 1.29% in Q411 to 0.08% in Q212
  3. Fixed Investment fell from 1.19% in Q411 to 0.56% in Q212
  4. Inventories fell from +2.53% in Q411 to down -0.46% in Q212
  5. Exports minus Imports didn’t do a darn thing to move the needle

The Obama/Bernanke money printing theory suggests that if A) you devalue your currency, B) you’ll see “exports” rise. Whereas, in the real world, when you print money A) input + consumer costs rise, and B) real-inflation-adjusted growth slows.

 

Adjusting for inflation is annoying to government guys who take car service to work because they don’t have to pay for gas or that pastry spread awaiting them at their next Washington meeting. That must be why the aforementioned Real GDP print only implies a +1.52% “Deflator.”

 

What’s shocking (and sad) is that the US Government’s “Deflator” (the number they subtract from the nominal, inflated, growth in order to print the “real” number) has been marked down by more than 27% since Q4 of 2011 AS PRICES INFLATED!

 

If Housing was really “back”, shouldn’t we be seeing that in the rental component of US Government reported “inflation”? How about Prices Paid rising +11% in last month’s PMI report alone? Or how about oil prices +30% off the YTD lows, +160% since 2009?

 

Nope. On the margin, Bernanke sees none of it impacting consumption or costs. No inflation. Touchdown Seahawks!

 

In a country that used to be considered Insanely Great, I don’t have to wonder how America’s next innovator likes them Apples. We can do a lot better than lying to people. Progress starts with telling people the truth. It’s only from there that we can move forward.

 

My immediate-term support and resistance risk ranges for Gold, Oil (Brent), US Dollar, EUR/USD, UST 10yr Yield, and the SP500 are now $1770-1783, $110.61-112.98, $79.41-80.31, $1.27-1.29, 1.59-1.70%, and 1432-1451, respectively.

 

Best of luck out there this week,

KM

 

Keith R. McCullough
Chief Executive Officer

 

Insanely Great - Chart of the Day

 

Insanely Great - Virtual Portfolio


MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE

Takeaway: A divergence between US and EU financials in the latest week, with US bank swaps moving wider by 6 bps while EU bank swaps fell 10 bps.

Key Takeaways

 

* American financial swaps were generally wider last week, while European financial swaps were mostly tighter. 

 

* Sovereign Swaps around the world were largely flat week-over-week with the largest single move coming from Ireland, where swaps tightened 28 bps to 253 bps. Spain and Portugal saw their swaps widen by 4 and 8 bps, respectively, while France and Italy saw their swaps tighten by 4 and 8 bps, respectively.

 

* The 2-10 spread continued to fall last week, declining ~9 bps to end the week at 140 bps. As WFC reminded us on Friday with its 25 bps QoQ NIM decline, it's hard to fight the gravity of falling long-term rates. 

 

* Even-Steven. Our Macro team’s quantitative setup in the XLF shows 0.8% upside to TRADE resistance and 0.8% downside to TREND support.

 

Financial Risk Monitor Summary  

• Short-term(WoW): Positive / 9 of 12 improved / 1 out of 12 worsened / 3 of 12 unchanged  

• Intermediate-term(WoW): Positive / 8 of 12 improved / 2 out of 12 worsened / 3 of 12 unchanged  

• Long-term(WoW): Positive / 8 of 12 improved / 2 out of 12 worsened / 3 of 12 unchanged

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Summary2

 

1. American Financial CDS –   Money center banks and large brokers saw their swaps widen between 4 and 8 bps, respectively, with the exception of MS, where swaps tightened 1 bp. The median US Financial swap widened by 6 bps, and, overall, swaps widened for 16 out of 27 domestic financial institutions. 

 

Widened the most WoW: MTG, WFC, BAC

Tightened the most WoW: HIG, ALL, PRU

Widened the most MoM: WFC, MBI, AXP

Tightened the most WoW: HIG, AIG, UNM

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - America

 

2. European Financial CDS –  It was a fairly uneventful week for default swap action on European banks. The trend was broadly lower (swaps tightened) with a median improvement of 10 bps WoW, and an average decline of 6 bps. Overall, 28 out of 37 European reference entities we track tightened.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Europe

 

3. Asian Financial CDS Asian financial swaps were mixed last week, but generally went sideways. 

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Asia

 

4. Sovereign CDS – Sovereign Swaps around the world were largely flat week-over-week with the largest single move coming from Ireland, where swaps tightened 28 bps to 253 bps. Spain and Portugal saw their swaps widen by 4 and 8 bps, respectively, while France and Italy saw their swaps tighten by 4 and 8 bps, respectively. 

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Sov Table

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Sov 1

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Sov 2

 

5. High Yield (YTM) Monitor – High Yield rates fell 0.6 bps last week, ending the week at 6.66% versus 6.67% the prior week.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - HY

 

6. Leveraged Loan Index Monitor – The Leveraged Loan Index rose 3.1 points last week, ending at 1735.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - LLI

 

7. TED Spread Monitor – The TED spread fell 2 bps last week, ending the week at 23.5 bps. Like Euribor-OIS, the TED Spread has moving steadily lower YTD.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - TED

 

8. Journal of Commerce Commodity Price Index – The JOC index fell 6.0 points, ending the week at 0.4 versus 6.4 the prior week.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - JOC

 

9. Euribor-OIS spread – The Euribor-OIS spread tightened by 1 bp to 12 bps, and continues to make new, multi-year lows. The Euribor-OIS spread (the difference between the euro interbank lending rate and overnight indexed swaps) measures bank counterparty risk in the Eurozone. The OIS is analogous to the effective Fed Funds rate in the United States.  Banks lending at the OIS do not swap principal, so counterparty risk in the OIS is minimal.  By contrast, the Euribor rate is the rate offered for unsecured interbank lending.  Thus, the spread between the two isolates counterparty risk. 

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Euribor OIS

 

10. ECB Liquidity Recourse to the Deposit Facility – This series has been generally trending lower since July of this year. The ECB Liquidity Recourse to the Deposit Facility measures banks’ overnight deposits with the ECB.  Taken in conjunction with excess reserves, the ECB deposit facility measures excess liquidity in the Euro banking system.  An increase in this metric shows that banks are borrowing from the ECB.  In other words, the deposit facility measures one element of the ECB response to the crisis.  

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - ECB

 

11. Markit MCDX Index Monitor – Last week spreads widened 3 bps, ending the week at 138 bps versus 135 bps the prior week. The Markit MCDX is a measure of municipal credit default swaps. We believe this index is a useful indicator of pressure in state and local governments. Markit publishes index values daily on six 5-year tenor baskets including 50 reference entities each. Each basket includes a diversified pool of revenue and GO bonds from a broad array of states. We track the 16-V1. 

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - MCDX

 

12. Chinese Steel –  Chinese steel prices ended the week at 3,806 ton/Yuan. As a reminder, there were no Chinese steel quotes in the prior week because of  the Mid-Autumn Festival holiday. The general trend over the last few months has been down. However, over the last month, Chinese Steel has rallied 9.3%.  

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - CHIS

 

13. 2-10 Spread – We track the 2-10 spread as an indicator of bank margin pressure.  Last week the 2-10 spread tightened to 140 bps, 9 bps tighter than a week ago.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - 2 10

 

14. XLF Macro Quantitative Setup – Our Macro team’s quantitative setup in the XLF shows 0.8% upside to TRADE resistance and 0.8% downside to TREND support.

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - XLF

 

Margin Debt - August: +0.73 standard deviations 

NYSE Margin debt rose to $287 billion in August from $278 billion in July. It's interesting to note that this most recent print brings the two series back into convergence. We like to to look at margin debt levels as a broad contrarian sentiment indicator. For reference, our approach is to look at margin debt levels in standard deviation terms over the period 1. Our analysis finds that when margin debt gets to +1.5 standard deviations or greater, as it did in April of 2011, it has historically been a signal of significant risk in the equity market. The preceding two instances were followed by the equity market losing roughly half its value over the following 24-36 months. Overall this setup represents a long-term headwind for the market. One limitation of this series is that it is reported on a lag. The chart shows data through August. 

 

MONDAY MORNING RISK MONITOR: US & EU BANKS DIVERGE - Margin Debt

 

Joshua Steiner, CFA

 

Robert Belsky

 

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THE M3: NEW S'PORE CASINO BILL; S'PORE HOME SALES; PACKAGE DATA

The Macau Metro Monitor, October 15, 2012

 

 

NEW CASINO LAWS HERE AFTER MONTH-LONG CONSULTATION Strait Times

Several new rules were introduced by the Singapore Parliament with regards to the two IRs, including one to limit how many times a person who is "financially vulnerable" can visit the casinos.  This first step in amending the law on casinos comes after a month-long consultation on various proposed changes to the Casino Control Act.  Another change is the setting up an evaluation panel to assess the overall performance of the resorts, to ensure that Marina Bay Sands and Resorts World Sentosa constantly develop and promote their non-gaming components to remain attractive to tourists.

 

The full bill can be viewed here: \http://www.parliament.gov.sg/sites/default/files/Casino%20Control%20(Amendment)%20Bill%2028-2012.pdf

 

SINGAPORE'S HOME SALES REBOUND TO HIGHEST IN THREE YEARS Bloomberg

According to the Urban Redevelopment Authority, home sales in September climbed to 2,621 units from 1,427 units in August.  That’s the highest since July 2009.  For 3Q, sales climbed 7.7% to 5,999 units.  Sales climbed after developers slowed marketing their projects in August due to the “Hungry Ghost Month,” which is considered an unlucky time to buy according to Chinese tradition.

 

PACKAGE TOURS AND HOTEL OCCUPANCY RATE FOR AUGUST 2012 DSEC

Visitor arrivals in package tours increased by 24.8% YoY to 913,613 in August 2012.  Visitors from Mainland China (674,949) went up by 28.3%, with 280,952 coming from Guangdong Province; besides, those from Taiwan (77,749); Hong Kong (36,183); Republic of Korea (33,169) and Japan (27,518) increased by 41.2%, 4.0%, 8.6% and 36.4% respectively.  The average length of stay decreased by 0.18 night to 1.3 nights.

 



Daily Trading Ranges

20 Proprietary Risk Ranges

Daily Trading Ranges is designed to help you understand where you’re buying and selling within the risk range and help you make better sales at the top end of the range and purchases at the low end.

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