Bloomberg Increases Transparency in US Treasuries and Interest Rate Swaps Pricing

Blog entry

Bloomberg has introduced Bloomberg Capital Markets Package (BCMP), a data service that combines NEX’s BrokerTec US treasuries data with US dollar spread-over data from Tradition’s Trad-X platform to increase market transparency and provide the global issuance and derivatives community with intuitive access to the firms’ datasets.

Bloomberg says consolidating the BrokerTec and Trad-X data – BrokerTec is a market leader in US treasury data and Tradition’s Trad-X offers liquidity and transparency in interest rate swaps – means BCMP will be the most liquid and transparent US capital market reference data available. The increased market transparency results from a deep set of consistent two-way pricing, along with indicators of current tradability. The service is available on a subscription basis via the Bloomberg Terminal or as a data feed.

Philip Cenatiempo, head of corporate strategy at Bloomberg, says: “There is a lot of industry interest in a move to methodologies that input actual market prices, rather than indicative prices, into benchmarks. Making this electronic transaction-based data available in BCMP responds to this move and to what we believe regulators want to see reference pages looking like in future.”

Kevin Taylor, managing director at NEX Data, and Scott Fitzpatrick, global head of Tradition Market Data and CEO of the Tradition SEF, agree that combining data from the Trad-X US interest rate swap platform with data from Broker Tec’s electronic US treasury platform will provide a robust and dependable pricing and reference service for US dollar interest rate products.