Sentences with phrase «flat yield curves»

Looking at the Wilshire indexes since 1978 in periods of steep and flat yield curves, the performance profiles of various styles are nearly mirror opposites.

«Any concerns that we may have expressed before about an overly flat yield curve, I'd put off to the side until we see things play out.»

Still, there is debate within the Fed over whether a flat yield curve is problem.

This means that the Fed is likely looking at a flat or flatter yield curve in the future.

But we've still got a flat yield curve and will eventually go up.

Federal reserve will not notch them rates until next year (this is consensus, i think), additionally they are only targeting short term rates, not long term rates, we could end up with a flatter yield curve, meaning short term rates equal long term rates.

BMO strategists say higher oil prices should ultimately lead to a flatter yield curve, not a steeper curve as seen last week

Wright's research seems to have been influential in Fed Chair Ben Bernanke's recent assessment that the current very flat yield curve does not signify a coming significant economic slowdown.

2: Moderate or flat yield curve: 10 - year Treasury yield no more than 2.5 % above 3 - month Treasury yields (this doesn't create a strong risk of recession in and of itself).

The Barron's article pointed this out as well, citing London - based «G+E conomics» head Lena Komileva: «A surplus of investment funds looking for returns in low - yield global markets results in a cap on longer - term yields and a flat yield curve.»

To some extent, stock market action also implies expectations for slower economic growth, though interest rate signals, such as a flat yield curve, are more suggestive of slow growth than stock market action is, and we've yet to see a substantial widening of credit spreads that would suggest imminent recession.

The group continues to face a series of headwinds, including higher short - term rates, a flatter yield curve, and a housing market that looks to be cooling.

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

Now there https://www.viagrasansordonnancefr.com/ is the additional challenge of the flat yield curve.

This led to debates among policymakers on whether the Fed should hasten the pace of tightening, which further exacerbated pressure on short - term Treasury yields while leaving long - term rates largely unchanged — hence a flatter yield curve.

Hence, a flat yield curve can be seen as a yardstick of ineffective policy normalization focusing on the «wrong part of the term structure.»

US bond yields have fallen to around 5.4 per cent, much the same as the cash rate, resulting (unusually for this stage of the economic cycle) in a flat yield curve.

This is a flat yield curve.

Learn about the major risks for the bond market in 2016; interest rate increases, high - yield bond volatility and a flatter yield curve may be issues.

Our outlook for growth and inflation supports our preference for equities, including cyclicals — despite the flat yield curve.

The two - year yield has increased 115 bps (see Exhibit 1), however the long end of the curve has fallen, producing a much flatter yield curve.

A flat yield curve, also called a humped yield curve, is represented by almost similar yields across all maturities.

A short term result of the Fed's continuing increase in the Fed funds rate is a flatter yield curve as seen in the chart of the spread between the 10 - year and two - year treasury notes.

A flatter yield curve makes profits from these transactions tougher to come by.

Flat Yield Curve - This curve indicates the yields of bonds with different maturities are relatively constant, and is seen when interest rates are expected to decline moderately but offset by positive term premium.

And the bond market's performance, as measured by the Bloomberg Barclay's U.S. Aggregate Bond Index, was positive for the quarter with a flatter yield curve and compressed spreads.

The result of this was a flatter yield curve for most of June and can be seen in Exhibit 2 as the comparison between the yellow and navy yield curves.

Though in the long run investors in First Marblehead will likely make money, the short run may end up being very rocky with potential cancellations on the horizon and a flat yield curve.

When the economy is transitioning from expansion to slower development and even recession, yields on longer - maturity bonds tend to fall and yields on shorter - term securities likely rise, inverting a normal yield curve into a flat yield curve.

A flat yield curve may arise from normal or inverted yield curve, depending on changing economic conditions.

A flat yield curve refers to a pattern in which long - term interest rates and short - term rates have been moving in similar fashion.

The group continues to face a series of headwinds, including higher short - term rates, a flatter yield curve, and a housing market that looks to be cooling.

Jim Bullard, President of the Federal Reserve Bank of St. Louis, says there is no need for the Fed to hike rates any more this year because inflation is still low, further Fed rate hikes could cause the currently flat yield curve to invert, and inflation expectations are still low and stable.

I would not interpret the currently very flat yield curve as indicating a significant economic slowdown to come, for several reasons.

A flat yield curve can indicate that the economy is in transition and is weakening.

Not exact matches

So right now the situation that we're seeing is a flatter curve, yeah but the Fed funds rate is in the 160s, [10 - year yield] in the 270s.

1 / 8Graphic: U.S. yield curve flattest in over a decade: http://pdf.reuters.com/pdfnews/pdfnews.asp?i=43059c3bf0e37541&u=2017-12-14T07414 8 Z t G F X E D C E 1 I P O N W t 1 t R T R G F X G t B A S E I M A G E.

Assuming they and insurance companies buy as much as JP Morgan and others estimate, long - term yields may not rise at all this year and yield curves will remain flat.

NEW YORK, Nov 28 - The Federal Reserve faces the challenge of standing by as financial markets «correct» as the central bank trims its asset holdings, U.S. hedge fund manager David Tepper said on Tuesday, adding he was surprised the bond - yield curve was so flat.

While credit spreads and leading indicators appear to be fairly well behaved, many have noted the sinister looking shape of the yield curve, near its flattest level since before the global financial crisis (see the chart below).

Achievement of these goals was considered by the HRC as very challenging, even aggressive, given the expected modest economic growth for 2007 for the financial services industry, the impact and duration of the on - going flat / inverted yield curve (meaning short - term interest rates that are virtually equal to or exceed long - term interest rates, thus lowering profit margins for financial services companies that borrow cash at short - term rates and lend at long - term rates), potentially higher credit losses, fewer available high - quality, high - yielding loans and investment opportunities, and a consumer shift from non-interest to interest - bearing deposits.

A flatter curve, when the 2 - year yield for instance, rises closer to the 10 - year, could signal a weakening economy in the future.

As the 10 - year yield began to really break out last week, the focus was also on the yield curve that had been getting flatter and flatter to a 2007 low.

Traditionally, global equities do not peak until after the yield curve has inverted, he adds, but «given the very low - rate nature of this cycle, we'd expect a flat curve to weigh more heavily on sentiment and encourage a more defensive rotation.»

I pour the morning cup of mud, schlep out to the stoop to get my paper, and open my WSJ to learn that the yield curve is awfully flat (i.e., the difference between the interest rates of bonds of different maturities is low).

The fund can also take a position in 0 - 3 month T - bills should the 5 - year note become too volatile, too correlated with equity, or too low - yielding (such as in a flat or inverted yield curve).

The yield curve is the flattest it has been in 10 years, meaning that the spread between 10 - and two - year Treasury yields is around 50 basis points, leaving the fed little room to manoeuvre.

Because the Chinese yield curve is extremely flat, investors wouldn't even need to invest in longer maturities in order to obtain higher yields, meaning that they can remain comfortabe in shorter and less risky maturities.

When adjusting for the proximity of the policy rate to zero, the yield curve turns out to be much flatter (closer to inverting) than it current appears.

If there are misfinanced (too much short - term borrowing) or over-indebted areas of the economy, there can be considerable economic failure with a flat or inverted yield curve.