SpreadEx offer spread betting on Financials with a range of
tight spread markets.
Not exact matches
If that were to happen, the already spooked
markets would face even
tighter lending conditions, and the pessimism might
spread to the rest of the economy.
When it comes to valuations, U.S. and emerging
market credit
spreads reached post-crisis
tights in late 2017, reflecting low default risks against a backdrop of solid global growth.
The
markets» low - yield environment hit the bank with
tighter credit
spreads, which were reflected in a $ 567 million pretax debit valuation adjustment loss.
This should increase the likelihood that you'll be trading with another individual investor rather than a
market maker, and that usually translates into
tighter bid / ask
spreads and greater size at each quote.
In my alternative Michael Lewis story, the smart young whippersnappers build high - frequency trading firms that undercut big banks» gut - instinct - driven
market making with
tighter spreads and cheaper trading costs.
There is no shortage of uncertainty in today's fixed income
markets given concerns about rising interest rates, low yields,
tight spreads and policy uncertainty.
By looking at how the credit
spread for a category of bonds is changing, you can get an idea of how «cheap» (wide credit
spread) or «expensive» (
tight credit
spread) the
market for those bonds is related to historical credit
spreads.
Future credit
market returns are likely to be more muted than in the recent past, and
tight spreads leave little room for error.
U.S. high - yield bond
spreads are 34 basis points, or hundredths of a percentage point,
tighter; cover
spreads are 21 basis points
tighter, and emerging -
market credit excess returns are at 3.6 %.
By itself, this below - average
spread might normally be taken to imply slightly
tighter - than - average conditions, although a more likely interpretation is that bond yields have been held down by offshore bond -
market developments reflecting expectations that short - term interest rates around the world will remain below average for some time.
Together, higher volumes and open interest correlate to increased liquidity, greater confidence in the
market and
tighter spreads.
For credit
markets, default rates are low, but extraordinarily
tight credit
spreads largely already reflect that fact.
Even with
market makers, they set their bid - ask
spreads to a level that facilitates trade, but not so
tight that if the stock gets moving, they start taking significant losses.
Regulated in the UK, US and Australia they offer a huge range of
markets, not just forex, and offer very
tight spreads and a cutting edge platform.
ETX Capital are a London based, FCA regulated broker offering
tight spreads across a wide range of
markets.
Market Choice —
Markets must be selected correctly, so the day trader is always trading an instrument that will provide decent trending conditions as often as possible, as well as having
tight spreads.
In the credit
markets,
spreads on the high yield securities are approaching historically
tight levels, while key credit metrics such as leverage and coverage ratios are showing signs of weakening.
The result: higher prices for riskier assets like equities and
tighter spreads for high yield and emerging
market (EM) bonds.
When the bid - ask
spread is
tight, it means that the
market maker (or specialist), is comfortable that short - term volatility is low enough, that he will be able to profit from the
tight spread on average.
Today's
tight credit
spreads reflect low levels of
market volatility.
However, your point about the reason for the
tight VRM / FRM
spread being more due to banks increasing the VRM / BoC
spread rather than the
market's collective wisdom (indirectly through the bond
market) on future interest rates is well taken.
At
market tops, typically credit
spreads are
tight, but they have been
tight for several years, while seemingly cheap leverage builds up.
Further, though
spreads for GM and GMAC are not at historically
tight levels,
spreads in the corporate bond
market are at levels not seen since 1997.
Your
spreads are not going to get materially
tighter, in my opinion, absent a partial refinancing that gives the bond
market more confidence in how you will meet your short - term obligations.
They say they'll work with
market makers to ensure
tight spreads.
JForex takes trading to the next level, providing exceptional execution under any
market conditions due to the integrated ECN and STP trading technology and the
tightest spreads due to the deep liquidity from the Tier 1 liquidity providers.
Future credit
market returns are likely to be more muted than in the recent past, and
tight spreads leave little room for error.
This is very
tight in terms of
spread and BMO is confident that it will lead to great secondary
market liquidity.»
The combination of the credit
market resurgence and
tight spreads, attractive equity valuations and ample private equity «dry powder» create the conditions for increasing the volumes of [leveraged buy - outs (LBOs)-RSB-.
By that time, the stock
market would be much higher, about as high as it was in October 2001, and credit
spreads tighter.
The combination of a measurable increase in ETF trading volumes, disproportionately small corresponding net cash flows, and consistently
tighter bid - ask
spreads in large ETFs than in the underlying assets suggests that investors who used ETFs to reduce or add to
market exposure benefitted from liquidity that was additive to the underlying asset
markets.
The Electronic Communication Network is the technology that helps provide liquidity for traders resulting in
tight spreads and quick trade execution with minimal
market impact.
Tighter Cryptocurrency Regulations The South Korean government was the cause of major turmoil in the global cryptocurrency
market as rumors
spread that they were planning to ban cryptocurrency trading across the country.
The more liquid a
market is, the
tighter the
spreads will be.
Last spring, investors snapped up the Chase / First Union Capital
Markets» joint venture $ 1.1 billion offering, prompting some industry analysts to say that the deal's strength - priced at some of the
tightest spreads seen in the
market in 1999 - was instrumental in establishing commercial banks as the new dominant power in the reconstituted CMBS
market.
A combination of factors, including
tighter bond
spreads, still low interest rates and issuers» growing level of comfort with risk retention rules, has been responsible for a more energized
market, Trepp researchers report.
Regardless, there are many catalysts: a
tight labor
market, wage growth picking up, a stock
market at or near record highs, housing values rising quickly, high commercial real estate prices, low cap rates and narrow credit
spreads.
«The number of improving housing
markets has risen for six consecutive months, and 36 states now have at least one metropolitan area on the list,» notes NAHB Chairman Bob Nielsen, a home builder from Reno, Nev. «This indicates that despite the many challenges that continue to drag on a housing recovery — including the
tight lending environment for builders and buyers — improving conditions are slowly but surely
spreading from one housing
market to the next.»