Sentences with phrase «against bond spread»

A spread ratio of 3:1, for example, means the note against bond spread (NOB) contains three ten - year note futures contracts to each single bond futures contract.

The note against bond spread (NOB) gives traders and investors a means with which to play anticipated changes in the yield curve.

With the note against bond spread (NOB), the position a futures trader will take depends upon their perception of the yield curve.

Not exact matches

Below you'll find the SPY and BofA Merrill Lynch US High Yield Master II Option - Adjusted Spread (a high yield bond spread index) plotted againsSpread (a high yield bond spread index) plotted againsspread index) plotted against SPY.

Credit spreads have tightened globally, and U.S. credit spreads are at the narrow end of their 17 - year range against government bonds — even after a recent widening.

This additional yield on a riskier credit bond is called the credit spread, and it's measured against a similar duration U.S. Treasury bond.

Rather, the increase in spreads appears to reflect both tightness in the Commonwealth Government bond market (where supply remains limited and demand by foreign investors appears to have increased) and upward pressure on swap rates (one benchmark against which corporate bonds are priced) as companies have sought to lock in fixed - rate borrowings due to expected increases in interest rates.

Second, both the rating - based and sovereign CDS default spreads are US dollar based and netting it out against a local currency government bond rate can be viewed as inconsistent.

BAA bond yields could be expressed as spreads against AAA yields, but the mathematical results would be the same.

In fixed income, we find short - dated Spanish and Italian debt relatively attractive, as we expect spreads to continue to compress against German bonds.

This additional yield on a riskier credit bond is called the credit spread, and it's measured against a similar duration U.S. Treasury bond.

We see an opportunity in MBS to add income while decreasing credit risk against a backdrop of ever - tighter corporate bond spreads.

Also, the yield spread between U.S. Treasuries and corporate bonds has tightened, meaning credit offers thinner insulation against rate rises.

Credit spreads have tightened globally, and U.S. credit spreads are at the narrow end of their 17 - year range against government bonds — even after a recent widening.

Perhaps there is a case of money illusion here is, stocks aren't «holding up, p / e ratio have compressed significantly over the past 7/8 years.Another point, you are comparing apples and oranges by taking s & p prices levels against yield bond spread.Try this: s & p earning yield less t - bills against the yield bond spread.

The risk for bond investors that the issuer will default on its obligation (default risk) or that the bond value will decline and / or that the bond price performance will compare unfavorably to other bonds against which the investment is compared due either to perceived increase in the risk that an issuer will default (credit spread risk) or that a company's credit rating will be lowered (downgrade risk).

The asset swap spread is one widely used metric to determine relative value of one bond against other bonds of the same currency.

Diversification is an investment strategy aimed at managing risk by spreading your money across a variety of investments such as stocks, bonds, real estate, and cash alternatives; but diversification does not guarantee a profit or protect against loss.