First: Financials look like they can continue to move a little higher. One big move, 2/10 yield spread has now steepened to widest level since Thanksgiving. That is probably the biggest driver. Otherwise lot of focus on pushed out credit cycle, expected pick up in inflation expectations and improvement in C&I loans last week. Not much more to add. It does feel from my seat that Long only community has turned the programs back on for financials. No major offer wanted situations, but just a persistent bid to go along with buybacks back in place.
Three Monday Takeaways: April 29, 2019
