CME margins increased on US trsy futs

Discussion in 'Financial Futures' started by Martinghoul, Jul 25, 2011.

  1. Treasuries: 10y initial margin +18%, 5y initial margin +28.5%, long bond and Ultra initial margin arnd +10%
  2. Expect more of the same unless the US debt quandary is solved by mid-week... if not, there won't be enough time to put an agreement in writing by August 2 -- even if an agreement is reached before that deadline -- so S&P and Moody's are still likely to downgrade the USA debt... great. :(
  3. :) :D :p :) :D :eek:

    I have to execute some tail risk other words: buy every other currency except USD :p
  4. Yep, I am in agreement with you on that... USD is a pezza di merda, indeed.
  5. zdreg


    does anybody care what the rating agencies do?
  6. m22au


    People who are allowed to think for themselves > probably don't care.

    People who are bound by an investment mandate to only buy securities with certain ratings > they are mandated to care.

    Mohamed El-Erian discussed the latter group of investments in great detail on Bloomberg TV yesterday.
  7. Moreover, the financing and repo mkts might care, since some participants have ratings-driven mandates.
  8. zdreg


    thx to both for a reasoned response
  9. drm7


    Just curious, what happens to the bond/note/bill futures contracts if the underlying instruments default? Can a bond in default be legally delivered to a holder of a futures contract?
    #10     Jul 29, 2011