LIBOR still dropping...

inspector_monkfish

crispy2 wrote: »

It's really interesting. Libor is dropping, but long term borrowing has shot up in cost over the last two days. Here is my graph of 5 year swap rates, updated weekly from FT:

docs.google.com/File?id=dgdxqcx_2dsz47pg3_b

5th May: 3.16
6th May: 3.23
7th May: 3.35

[08:49 SWAPS: GBP Ends Week With Choppy Curve Action] London, May 08
Yields continue to creep higher and the curve steepen. Although caution still prevails the market cannot ignore the global optimism that was strengthened with the US banking stress test results not being as bad as had been feared.

The QE increase was also within forecasts leaving traders with a little more confidence. For swappers the focus has been the long end with eurozone players trying to claw back some lost ground noted versus the EUR steepening. Payers of the 20 and 30-year have been supporting quotes all morning.

The 20-year has seen tickets at 4.285% with the 30-year trading at 4.8%. The long end interest didn't stop there however. Payers were then noted in 20s/40s and 20s/50s with traders keen to buy some protection against the sudden steepening.

The belly of the curve has seen 2s/5s/10s steepen as the intermediate tenor loses some of its cheapness as the curve steepens. Payers have lifted the fly to 53.25 bp from an open of 49.75 bp. 5s/10s has seen tickets at 65 bp as one market maker unwound a leg of the fly.

leighton

inspector_monkfish wrote: »

[08:49 SWAPS:
... Payers have lifted the fly to 53.25 bp from an open of 49.75 bp. 5s/10s has seen tickets at 65 bp as one market maker unwound a leg of the fly.

Any chance of a translation for this bit?

marvin

Lets hope it keeps droping to at least June 01

inspector_monkfish

LIBORs 11 May

3mth 1.41188 (down 1pt)
6mth 1.6150 (down 1pt)
12mth 1.88875 (down 1pt)

Mike1999

inspector_monkfish wrote: »

LIBORs 11 May

3mth 1.41188 (down 1pt)
6mth 1.6150 (down 1pt)
12mth 1.88875 (down 1pt)

Thought this might help you out inspector monkfish and save you posting - I posted this on another thread but can't remember which one but hopefully it helps and you can track LIBOR changes daily and they've got a graph which shows the gap between LIBOR and Base Rate.

http://www.mortgagesforbusiness.co.uk/content/BuyToLet/LandlordInformationZone/MoneyMarkets.aspx

I've noticed sometimes it's not quite up to date first thing in the morning but hope this helps a bit. :cheesy:

inspector_monkfish

thanks Mike
thats an interesting site

i'm just posting LIBORs as soon as they are published around 12.00 each day, as there are a few other posters on here that like to see them

inspector_monkfish

LIBORs 12 May

3mth 1.40063 (down 1pt)
6mth 1.60625 (down 1pt)
12mth 1.88938 (unchanged)

LIBORs continue to fall
any sign of the Banks passing this on yet...... thought not ;)

cbrpaul

inspector_monkfish wrote: »

LIBORs continue to fall
any sign of the Banks passing this on yet...... thought not ;)

i dont think they ever will as its their own exchange rates, and as far as they are concerened nothing to do with joe public , sad but true !!!

inspector_monkfish

LIBORs 13 May

more falls...

3mth 1.38375 (down 2pts)
6mth 1.59375 (down 1pt)
12mth 1.87938 (down 1pt)

RomansProperties

Nice drop today on the 3mth. Thanks for the Information