Sentences with phrase «long federal bond»

You can get long - term government bonds through the BMO Long Federal Bond (ZFL) and gold with the iShares Gold Trust (IGT).

Not exact matches

That data raised a fresh round of questions about how the Federal Reserve will proceed on further cutting back on its massive monthly bond purchases, which have kept long - term rates low and encouraged a strong rally on equity markets.

Residential real estate had taken on a healthy pace in late 2012 and early 2013 but has slowed since the Federal Reserve started talking about reducing its monthly bond purchase, which helps keep long - term interest rates low.

The other provinces would have access to Canada Pension Plan surpluses, in proportion to the contributions made by their residents, through the sale of provincial bonds and provincially guaranteed securities on 20 year terms at the long - term federal bond rate.

Long - term yields for Treasury bonds began to rise in early May, following comments from numerous Federal Reserve officials indicating that the Fed's massive bond - buying program would begin to slow if the economy continued to improve.

WASHINGTON (Reuters)- The Federal Reserve could begin reducing the size of its bond - buying stimulus program as early as September but might wait longer if economic growth fails to pick up in the second half of the year, a top Fed official said on Tuesday.

A CORE HOLDING FOR ANY PORTFOLIO This Fund seeks high current income and some long - term capital appreciation by investing primarily in Canadian federal and provincial government and corporate bonds, debentures and short - term notes.

The Federal Reserve will presumably keep its bond - buying program going a while longer after the disruption to the economy caused by the government shutdown, and is not likely to raise interest rates until at least 2015.

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In the past, many economists and analysts predicted a sharper rise in long - term interest rates, as the Federal Reserve began to scale back its bond - buying stimulus program.

Long - term rates have risen since Chairman Ben Bernanke said in June that the Federal Reserve could begin trimming its bond purchases later this year if the overall economy and the job market kept improving.

Former Fed Governor Stein highlighted that Federal Reserve's monetary policy transmission mechanism works through the «recruitment channel,» in such way that investors are «enlisted» to achieve central bank objectives by taking higher credit risks, or to rebalance portfolio by buying longer - term bonds (thus taking on higher duration risk) to seek higher yield when faced with diminished returns from safe assets.

It will buy $ 600 billion worth of US long - term bonds in the open market, close to 7 % of all Treasury securities in public hands, or about the amount the debt that the federal government will issue over that time period.

The biggest focus here was on short - term securities, which tend to be less vulnerable to U.S. Federal Reserve's rate hikes than longer - term bonds are.

Given these forces, along with more structural considerations ---- aging populations, institutional demand for bonds and a dearth of supply ---- I expect that long - term yields will remain low even as the Federal Reserve (Fed) starts to raise rates.

I realize that if the private sector credit creation mechanism is not functioning properly, QE purchases can overwhelm the expected supply response, but it is a mistake to assume that since the Federal Reserve is buying bonds then longer - term yields must be artificially suppressed.

The Federal Reserve rapidly raised rates (gold) from 2004 to 2006 to try to push up long - term bond yields (10 year Treasury yields) and cool the housing market

They also interpreted statements from the US Federal Reserve around that time as indicating that the Fed was increasingly concerned about the possibility of deflation in the US economy and that it might buy long - term bonds to add to monetary stimulus.

The long - anticipated introduction of euro zone government bond purchases will bring the ECB's buying program into line with the U.S. Federal Reserve's quantitative easing (QE).

Using quarterly S&P Composite Index level, index earnings, long - term government bond yield and inflation data during 1871 through 2016, along with contemporaneous income tax rates and Federal Reserve monetary actions, they find that:

Commodity ETNs are generally taxed much like stock and bond ETNs, with the 23.8 % federal rate applying to long - term gains and the ordinary federal rate of up to 43.4 % applying to short - term gains.

Moreover, 7.2 per cent growth, which is the other way to look at not taking early benefits, plus indexation, is hard to achieve on a long term basis in income stocks or with federal government bonds with no risk of default.

Treasury 30 - year bonds advanced after biggest quarterly rally since the depths of the financial crisis in 2008 as the Federal Reserve prepared to buy longer - term debt under the program known as Operation Twist.

Even in a world where short - term interest rates will continue to rise as the Federal Reserve raises policy interest rates (most likely 2 — 3 times next year) and where long - term rates should rise slowly as the Fed lets its balance sheet shrink, tax - free yields should either stay the same or move down as the municipal bond world confronts a market with much less issuance.

Federal prosecutors said NXIVM founder Keith Raniere's «decades» long history of abusing women and girls» is among the reasons he should remain in custody without bond while his criminal case is pending.

Little did anyone know that what Peter Obi called cash - in - hand were basically investment in stocks, bonds and other non-performing equities arranged by Obi in his final days in office; long - term uncompleted assets that will not earn cash until they are completed; various sums spent in rehabilitating federal roads in the State for which re-imbursements may come in the distant future; computation of the State's share of the Excess Crude Account contributed as capital to the Nigerian Sovereign Wealth Fund in 2010, etc..

Federal regulators secured a settlement with a Long Island lawyer this week — part of a sprawling probe into two years of kickbacks that allegedly fleeced municipal bond investors by securing loans for a local business owner.

U.S. Senate Minority Leader Chuck Schumer and Rep. Peter King joined Long Island Teamsters in calling for union pension shortfalls to be funded through Treasury bonds tied to the federal budget.

It's injected into the bond market when the Federal Reserve purchases mortgage - backed securities and long - term Treasury securities from other financial institutions.

The average 30 - year fixed - rate mortgage stood at 4.5 % last week, up from 3.6 % last May, when interest rates shot up in reaction to the Federal Reserve's initial indication that it might reduce a bond - buying campaign that was, in part, designed to keep a lid on long - term rates like mortgages.

In the past, many economists and analysts predicted a sharper rise in long - term interest rates, as the Federal Reserve began to scale back its bond - buying stimulus program.

In fact, our chief economist, Jonathan Smoke, has observed that mortgage rates have more to do with trends in long - term bonds than with the federal funds rate.

Given these forces, along with more structural considerations ---- aging populations, institutional demand for bonds and a dearth of supply ---- I expect that long - term yields will remain low even as the Federal Reserve (Fed) starts to raise rates.

The targets for the federal funds rate affect short - term interest rates, but the mortgage market is influenced far more by long - term bond rates.

Federal Reserve policy has a significant impact directly on short - term interest rates and indirectly on longer term interest rates, which in turn affect bond prices.

The bond market provides local, state and federal governments, and private enterprises the funds needed to get development and long - term infrastructure projects off the ground.

Interest from municipal bonds is generally exempt from federal income taxes, and, in most cases, state and / or local income taxes, so long as the investor resides in the state that issued the bond.

The textbook response to a Fed normalization cycle (indicated on the chart as an increasing federal funds target rate) is greater increases in short - maturity interest rates relative to long - maturity rates (a «flattening» in bond parlance).

Given the way interest rates are tied to long - term bond rates in the U.S. — rates the U.S. Federal Reserve has been saying are about to increase — there is no way to be sure that our rates won't increase again.

That didn't happen as Pimco, guided by an economic view called the «new neutral,» predicted that shorter - term bonds will do better than longer - dated debt out of a belief that investors are overestimating how much the Federal Reserve will increase the benchmark rate.

The interest from these bonds is tax free at the federal, state and local levels as long as the investor resides in the same state or municipality as the issuer.

The fact that the Federal Reserve is raising its overnight lending rate and seeing little reaction from the yields of intermediate and longer - term bonds is an indication that bond investors do not believe in the strength of the economic outlook going forward.

A money market will see a pretty quick response to the Fed raising interest rates, but longer term, five - year ten - year and the like bonds, tend to move independently of the Federal Reserve.

Long - term N.Y / N.J. Port Authority bonds currently yield close to 5 %, and they are free of both federal and state and local taxes in the states in which they operate.

As we sit here today, the Federal Reserve is propping up the bond market, buying long - dated assets with printed money.

However, longer - dated U.S. Treasuries (guaranteed by the federal government as to the timely payment of principal and interest) tend to be more rate - sensitive than other types of bonds.

T - Bonds and T - Notes: These long term debt issues of the Federal Government funding to keep operations running and to pay interest on national debt.

On March 18, the Federal Reserve announced it would purchase up to $ 300 billion of long - term bonds as well as $ 750 billion of mortgage - backed securities.

While SECD programs often rely on foundations, corporate grants, social impact bonds, pay - for - success contracts, and other short - term funding sources, there is no substitute for a long - term, sustainable funding model based on consistent federal and state allocations.

With the Federal Reserve's continued indecision regarding the fate of bond - buying programs and the likelihood that interest rates will rise, smart money is going to great lengths to lock in long term rates.