Commercial Paper Market Being Revived by Citigroup,JPM, and Bank of America
October 15, 2007
Bank of America, Citigroup, and JP Morgan are expected to announce as early as today the establishing of an $80 Billion Commercial Paper fund. The fund is aimed at helping unlocking the asset-backed paper market from its current condition.
The fund might also help avoid units setup to provide subprime debt from selling off their assets [...]
Commercial Paper Market “History”
September 16, 2007
The world’s largest bond fund has reduced its holdings of commercial paper to zero as of late last month. Bill Gross, the manager of the Pimco Total Return Fund had eliminated its holdings of commercial paper by the end of August.
Concerned about the impact of mortgage defaults, investors have fled commercial paper leading to demands of higher spreads [...]