January 2010 Market Commentary

As expected, by the end of December, the market came to a complete standstill.  Both issuers and investors were unwilling to jeopardize their incredible performance in 2009.  Hence, only one transaction was printed for January TALF borrowing; it was a FORD floorplan deal.  The transaction was quietly talked about in December, but very little interest was generated.  In the first few days of January, the transaction was announced and sold being 5 times oversubscribed and at the much tighter levels than initially anticipated.  The spread tightening was felt through out the market.  Most of the TALF eligible assets tightened 15-20 basis points in one week, with subordinate bonds tightening as much as 100 basis points on the week.
                                                        

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 Historical Commentary

• December 2009    
  

• Novmber 2009    

• October 2009   

• September 2009