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The Bank of Japan (BOJ) has experienced a record-breaking paper loss of ¥10.5 trillion ($70.7 billion) on its bond holdings, the largest loss since fiscal 2004. This poses a challenge for Governor Kazuo Ueda as he considers normalizing policy. The loss is not expected to deter Ueda from reducing stimulus if the bank's inflation goal is achieved, but it highlights the difficulties the central bank may face when it eventually moves towards an exit strategy. The BOJ's massive bond holdings, which make up over half of the central government's outstanding debt, are vulnerable to even a small increase in yields. On the other hand, the BOJ has seen unrealized gains from its holdings of exchange-traded funds, reaching a record ¥23.6 trillion. Despite the losses, Ueda has expressed confidence in the financial situation of central banks, emphasizing the need for responsible financial management to maintain credibility in the markets. [Extracted from the article]

A recent controversy in the world of quantitative investing has raised doubts about the accuracy of a widely cited paper on bond market returns. Alex Dickerson, a doctoral student at Warwick Business School, discovered errors in the influential paper by three Georgetown University professors. The errors invalidated the paper's findings and led to its retraction by the Journal of Financial Economics. This incident highlights the replication crisis in finance and raises questions about the validity of factors used in bond investing. Despite the uncertainties, systematic credit investing remains a growing business. [Extracted from the article]

Country Garden has managed to avoid its first offshore bond payment failure and reschedule local debt in recent months, though investors are bracing for delinquencies and a likely debt overhaul. The company also put up a short video clip, in which Yeung was accompanied by Country Garden President Mo Bin. [Extracted from the article]

Currently for the biggest US banks, none of the unrealized losses impact profit, but the ones in the AFS books do hit common equity. The recent surge in yields - which abated somewhat this week - has renewed investor focus on unrealized losses, a key issue during the turmoil that struck regional banks from March. (Bloomberg) -- After investment losses tore through the US financial system this year, a fresh slump in bank stocks shows some investors fear the problem - which at its most extreme claimed a handful of lenders - hasn't gone away. [Extracted from the article]

(Bloomberg) -- Indian sovereign bonds slumped as the central bank's choice of relatively illiquid papers for its bond-purchase program disappointed traders. The yield on the 5.63% bond maturing in 2026 rose as much as 13 basis points to 5.89%, while the 6.64% 2035 bond yield climbed eight basis points. [Extracted from the article]

India's yield curve has been nearly flat even amid record borrowing by the government as insurers stepped up purchases of long-term bonds. (Bloomberg) -- India's auction of the debut 50-year bond met with strong demand Friday, underscoring growing interest from insurance and pension funds for ultra-long papers. [Extracted from the article]

This article presents information related to paper stocks in the U.S. which have been on fire of late, partly because of an industry upturn stemming from a lift in overseas demand, including a pickup in Asia. There are also expectations of more takeovers. One stock on a tear is Champion International, a producer of paper and wood products, which leaped from 48 on October 5, 1999 to 59 on November 10, 1999. Finland's big paper-and-forest-products company, Big Board-listed UPM-Kymmene, may make a bid for Champion.

Focuses on the dominance of emerging markets paper amid leveraged buyouts and cable loan deals. Increase in the Asian traders' interest in Kazakh and Russian paper; Background on the tranche activity at VNU.

The article provides information on international business conditions as of August 1990. The production index has remained the same. The output of coal, rail-freight traffic, paperboard, paper, lumber and electric power fell on a seasonally adjusted basis. The output of steel and crude-oil refining was unchanged. Stock prices and the growth rates for real estate declined. On the other hand, bond yields and business failures increased. Charts of production indicators, foreign exchange and monthly economic indicators are provided.

SBI Pension Funds Pvt., which manages $50 billion in assets, is considering investing in corporate and state debt due to the narrowing spreads on longer-maturity Indian government bonds. The fund's chief investment officer, Sandeep Pandey, expressed concern that the lack of term premium for longer-dated securities could impact returns for subscribers. Demand for longer-tenor papers has increased, leading to a compression in the spread between 10-year and 30-year bonds. The fund currently holds a portfolio of about one trillion rupees in corporate paper and 2.5 trillion rupees in sovereign and state debt. [Extracted from the article]

The article reports on the rise in demand for Alternative A-paper (Alt-A) residential mortgage-backed securities on the secondary market as of February 2014 while new-issue deals remain scarce in the medium term and spreads on subprime bonds become less attractive. Topics discussed include comments from Scott Buchta, head of fixed-income strategy at broker-dealer Brean Capital on bonds backed by middle-tier credit quality loans and an explanation on the yield of subprime assets.

"We therefore believe that the next policy decision the BOJ takes will likely be a major one - such as changing long-/short-term policy rate targets or terminating yield curve control altogether." (Bloomberg) -- Japan's two-year yield rose above zero for the first time since 2015, bringing the global era of negative yields closer to an end. [Extracted from the article]

The Fed had to similarlysupport the commercial paper market after Lehman Brothersfailed. (Bloomberg) -- Blue-chip companies that need to borrow inthe US now are increasingly relying on short-term IOUs toavoid locking in longer-term borrowing costs in a marketbeset by turbulence. [Extracted from the article]

This article presents brief descriptions of various recent socio-political issues and developments in the U.S. It first focuses on Senator John Sherman's latest banking bill. It provides that upon a deposit of bonds any national banking association shall be entitled to receive circulating notes equal in amount to the par value of their bonds bearing interest at the rate of not less than 3 per cent, and redeemable at the pleasure of the U.S. at the date of such deposit; and if bonds deposited are not so redeemable, and bear a rate of interest higher than 3 per cent, then the issue of circulating notes may be to an amount equal to 95 per cent. The article further reports that among the amendments to the Lowell Bankruptcy Bill suggested by the Convention recently held in Washington D.C., is one making dealings in futures on the part of the bankrupt a ground for objecting to his discharge.

H&M's "Blowout" Sustainable Bond Debut Lures $6.5 Billion Orders (Bloomberg) -- Hennes & Mauritz AB has slashed the yield offered on its debut bond by half after investor demand for the Swedish retailer's sustainable debt proved so strong. The investment-grade notes earlier attracted orders of about 5.4 billion euros, which covered the deal more than 10 times and allowed H&M to cut the spread by as much as 50 basis points between initial price talk and final terms. [Extracted from the article]

Reports on the pressure on asset-backed bonds as Latin America copes with global recession, crisis in Argentina and Brazil as of December 2001. Vanilla bonds issued by Latin America since July to December 2001; Workers' remittances to selected Latin American countries from 2001-2002; Local markets that are developing commercial paper markets. INSET: Getting Off the Ground, by Maria O'Brien.

Focuses on the business performance of medium term notes and commercial paper market in Europe, as of April 30, 2004. Increase in the interest rate of securities; Reason for the decline of bond issues; Percentage increase in the asset backed securities.

Home Depot Inc. plans to take on $12.5 billion of debt to finance its acquisition of building-products distributor SRS Distribution Inc. The company intends to use cash on hand, as well as new commercial paper and unsecured notes, to fund the deal. The acquisition is valued at approximately $18.25 billion and is expected to be completed in early 2025, pending regulatory approvals. Home Depot aims to maintain its investment-grade ratings and reduce leverage through debt repayment and Ebitda growth. The acquisition aligns with Home Depot's strategy to target professional contractors in the market. [Extracted from the article]

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The article reports on the bond issue by Nokia in Europe. According to bookrunners, the issuer had run a Europe wide roadshow about extending its commercial paper issued for the acquisition of Navteq, but instead started to consider a bond transaction to refinance the paper. They mention that the company's results showed that it had been affected by the macroeconomic outlook.

(Bloomberg) -- China Evergrande Group avoided what would have been its first default on a public onshore bond as a unit got investor backing to delay repayment of a 4.5 billion yuan ($707 million) note. Bond (4:05 p.m. HK) Chinese developer Country Garden Holdings failed to find enough demand for a potential $300m convertible bond, according to a report by IFR. The share placement has done little to restore investor confidence in the firm's longer-term financial health, even though funds will be used in part to repay some loans. [Extracted from the article]

The article discusses the highlights of the European Union's (EU) draft paper, entitled "The Long-Term Financing of the European Economy." According to EU officials, securitisation could help in reducing reliance on bank funding. They point out the need to develop corporate bond markets in Europe as an alternative to bank funding. They cite the Prime Collateralised Securities label initiative as the industry best practices on loan quality, transparency and simplicity.

(Bloomberg) -- Swedish debt collector Intrum AB is tapping bank credit lines for funding as selling commercial paper becomes more challenging. "This is not the first time that the commercial paper market is closed for Intrum, hence leaving it with no alternative sources of fresh financing", he said. [Extracted from the article]

Presents data on the status of the medium term note (MTN) and commercial paper market in Europe as of July 7, 2005. Top Euro MTN issuers; Top Euro MTN issuing countries; Bookrunners and lead dealers included in the MTN and corporate issuance league tables.

Presents information on the general status of medium term notes (MTN) and commercial paper (CP) issues in Europe as of October 28, 2004. Top Euro MTN Issuers of the Week; Top Transport/Shipping Euro MTN Issuers by Outstandings; Asset Backed Euro CP Outstandings.

(Bloomberg) -- South Korea pledged at least 50 trillion won ($34.7 billion) in support for credit markets that have been strained by rising interest rates, stepping in to reduce the risk of defaults weighing on the economy. Korea will resume purchasing commercial paper and corporate bonds from Monday, first injecting 1.6 trillion won from a 20 trillion won bond stabilization fund, Choo said. [Extracted from the article]

The article reports on a 100 million U.S. dollar block of British prime paper that traded to mostly U.S. accounts in October 2011. The activity is considered a sign of a sustained U.S. bid for British prime paper. It is noted that the deal is built mostly of bonds from larger British master trusts that include the Arkle and Permanent vehicles of the Fosse and Lloyds Banking Group of Santander U.K.

The article focuses on the formation of the Gold Bondholders Protective Council by stockbroker Robert Ellison as of March 1980 in an effort to uphold the interests of holders of matured bonds payable in gold that were issued by companies prior to U.S. Congress's repudiation of the gold clause in 1933. Comments from Stephen DeLisio, an attorney for Merdes, Schaible, Staley & DeLisio, and Herbert Waterman, vice president of Southern Pacific Railroad (SP), are included.

The article focuses on the developments in the commercial paper market of Europe as of April 30, 2010. It was observed that investors have been ending their paper while others decided to cut their lines on Portuguese banks backed by the sovereign due to the downgrading of the country's local and foreign currency sovereign issuer credit rating and local and foreign currency short-term ratings. Details related to the bond issuances of the Republic of Portugal, Millennium BCP, and Allied Irish Banks are also given.

The proceeds will be used to repay three existing bonds series, as well as pay down commercial paper and credit line debt of the real estate investment trust, formerly known as Land Securities. [ABSTRACT FROM AUTHOR]

The article reports on the proposals published by the Stock Exchange of Hong Kong and the Securities and Futures Commission of Hong Kong, China in 2008 to provide issuers of stock or debentures the authority to distribute paper application forms for public offerings without prospectuses as attachment.

Presents an update on the European commercial paper market as of August 12, 2005. Indications of investor confidence; Total value of bonds issued by Spintab in euro and sterling denomination; Percentage of interest rates raised by the Federal Open Market Committee.

The article reports on the commercial paper (CP) issue sold by the South Australian Government Financing Authority (Safa) on May 1, 2012. It notes that the transaction is the largest CP trade of Safa for more than a year. There is continued strong demand for Australian credits as investors try to shift away from Eurozone credits. According to Dealogic, the Safa CP deal has the longest maturity since July 2011.

The article reports on the high-yield bond buyback closed by the paper manufacturer Lecta after the buyback of Daily Mail and General Trust in December 2011, which retrieved fewer bonds than the maximum target. It says that Lecta did not want to overpay and had no pressing need to buy back the debt. According to a banker close to the transaction, the deal was purely opportunistic.

The article reports on the decision of Gazprom to postpone its planned issue of six month commercial paper late on October 5, 2011. It says that the move came after UBS opened books with price guidance of 4.5 percent yield area. According to the author, market participants away from the note were wondering why it had been delayed as emerging market (EM) bonds had been relatively stable over the last couple of days.

The article reports on an increase in demand for AA and A paper in Northern Rock's U.K. Granite residential mortgage-backed securitization (RMBS) in the past week, as of September 5, 2011. Dealers expect investors to take on longer-dated positions as confidence grows. The AAA bonds in Granite are said to have shifted slightly since the end of August.

The article reports that long-dated trades for sovereign, supranational and agency (SSA) issues were driven by Asian demand. Among the largest trades was NRW Bank selling a 500-million U.S. dollar piece of 364 day commercial paper (CP). The Republic of Austria and Caisse d'Amortissement de la Dette Sociale (CADES) offered a 350-million U.S. dollar piece and a 300-million U.S. dollar clip, respectively.

This section offers news briefs concerning medium term notes (MTNs) and commercial paper (CP). Royal Bank of Scotland sold one-year bonds amounting to 75 million British pounds. Three-year floating rate notes worth 20 million U.S. dollars were placed by the Commonwealth Bank of Australia. National Bank of Abu Dhabi (NBAD) also sold fixed rate notes through Barclays Capital.

The article reports that Corporación Durango, a Mexican paper manufacturer, filed for bankruptcy. Durango was due to make a $26.5 million coupon payment on the bonds on October 5, 2008 but failed and filed for debt restructuring under the Mexican Concurso Mercantil process. The company defaults on $509 million in bonds due 2017.

Focuses on the Euro commercial paper (CP) issued by the Greek government in January 2004. Reasons for issuing tenors ranging from five days out to three weeks; Lead managers on the bond issue; Banks included in the dealer panel of Greece's sovereign programme.

The article explains that swapping bonds can be a way for individual investors to erase their paper losses after the decline of bond prices. A capital loss that an investor takes can offset equivalent income at tax time. Chemical Banks Portfolio Group money manager Stephen Timbers points out that bond swapping occurs at the end of a year.

The article discusses the role of conflict between overlapping regulators in the freezing of medium term note (MTN) issuance in the Chinese domestic market, according to senior financial lawyer Fang Jian. Regulation of China's bond market is split between the National Development and Reform Commission (NDRC), China Securities Regulatory Commission (CSRC) and the National Association of Financial Market Institutional Investors (NAFMII). The People's Bank of China is likely to take a back seat, monitoring only the commercial paper market.

The article reports that time money and commercial paper have not shown any tendency to advance and there has been no pressure on bond prices as expected due to the present level of commodity prices which are below 1920 levels and the increasing supply of gold.