Over the past week i have been contacted by big-swinging-dick crude traders who have highlighted an excessive amount of activity on the OTC market for the long-end of the oil curve. Upon some investigation, I have found some interesting data:
- In Q3 2013 Barclays Issued $103.4M Note Tied To Brent.
- In Q2 2014 Credit Suisse cut a reverse-convertible totally $2.147M.
- In Q3 2014 JP Morgan issued a note with the lowest Knock-In stike I've found, $62.38.
- In Q2 2014 BNP Paribas cut a note that buyers of are getting smoked on.
- In Q2 2014 BOAML issued paper tied to Valero
I'm not sure what to make of this yet but if you have anything to add or have insight that would help me or correct my thinking, please reach out on Twitter to @CalConfidence.
More to come as this develops.