Sentences with phrase «as yield levels»

Banks and Insurance companies appear to have been very rational in their portfolio management of Treasury holdings over time, cutting back as yield levels fell over multi-decade periods.

Perceptually, households have decreased their direct ownership of Treasuries as yield levels have fallen over the decades.

Not exact matches

NEW YORK, April 23 - The U.S. dollar rallied to a four - month high on Monday as the 10 - year Treasury yield's climb toward the psychologically important 3 percent level spurred buying of the greenback, leaving the euro and yen lower.

Although Spain's borrowing costs have fallen over the past two months on the back of the ECB's new rescue plan, the Spanish 10 - year yield is still hovering just below 6 percent - a level that has been seen as unsustainable since the crisis escalated in 2011.

U.S. two - year Treasury yields reached 2.453 percent on Friday, the highest level since September 2008 as the two - year's spread versus two - year German Bunds grew to 302 basis points, the widest in more than three decades.

During a webcast presenting his 2017 outlook, Gundlach, the founder of DoubleLine Capital, said certain «second - tier» managers were focusing on 2.6 % as an important level for the 10 - year Treasury yield — a threshold beyond which the bull market in bonds would end.

Meanwhile government bond yields, a reliable barometer of market fear, are falling to record low levels as investors engage in a panicked hunt for risk - free assets.

RATES STILL LOW: Even as concerns about rising bond yields and interest rates spook some investors, bulls are quick to mention that rates are rising off extremely low levels.

NEW YORK, Feb 5 - The dollar rose against a basket of currencies on Monday as the U.S. bond market selloff levelled off after the 10 - year yield hit a four - year peak on worries that the Federal Reserve might raise interest rates faster to counter signs of wage pressure.

Ultimately, he sees the S&P 500 in 2018 ending 9 percent higher than current levels as long as the 10 - year Treasury yield stays below 3 percent.

Bonds tumbled as upbeat consumer spending data lowered demand for U.S. debt, pushing the two - year note yield to its highest level since 2011.

Bonds flipped between negative and positive territory as concerns about economic growth pushed the 10 - year note yield to lowest level since April.

Certainly, it offers an attractive level for longer - term investors such as pension and insurance funds to lock in a relatively decent yield, and will tempt some portfolio managers to buy bonds rather than equities.

The yield on 10 - year U.S. notes took a stab at the psychologically important 3 % level before pulling back on Monday as strengthening inflation prospects added to expectations of a more hawkish approach from the Federal Reserve.

In fact, credit spreads in many markets are trading at the lowest levels as a percentage of their overall yield in a decade (see chart below).

Long - dated Treasury yields early Thursday trade at the highest level in nearly a month, but shorter maturities saw a slight pullback in rates, as inflation expectations rose

Short - dated Treasury debt now provides an attractive real return as yields now stand firmly above realized and target levels of inflation.

U.S. stock futures were mixed this morning as the yield on the 10 - year Treasury hit new 16 - month highs, on the verge of exceeding the psychologically key level of 3 percent.

Therefore, at current levels the maximum price return for UST 10 yr is 18 % calculated as follows: the yield declines from 2.91 % to 0 % and the price rises by 2.91 x 9 yr duration or 26.19 %.

The U.S. 10 - year Treasury yield reached nearly 2.65 %, the highest level since 2014, as investors shunned bonds amid expectations that the economy and inflation will pick up.

U.S. rates hit super-low levels, as investors loaded up on Treasurys in the face of lower and negative yields in Europe and Japan, and if long - end rates rise in those regions, investors could dump Treasurys.

But even as the market adjusts to the next level of yields, there will be more government debt for the Treasury market to deal with.

Money fund management fees declined considerably as interest rates fell to near - zero levels, apparently as fund managers worked to preserve a non-negative yield for their investors.

As bond investors find their preferred yield levels, some equity volatility may persist.

As global bond yields fall to ever - lower levels, BlackRock Global Chief Investment Strategist Richard Turnill explores the reason for the downward trend.

Junk - bond ETFs rallied on Wednesday, as markets breathed relief that the «fiscal cliff» is no longer a concern and as a result, bond yields are under 6 percent for the first time ever, and junk ETF share prices hit levels not seen in years in some cases, according to an article on ETF Trends.

This was a function of the low level of market yields, as well as the low level of volatility and yield movements.

Precious and Industrial Metals Inflation concerns, geopolitical tensions and interest - rate levels, especially real yields, contributed to a 1.7 % rise in the spot price of gold (to US$ 1,325 per troy ounce), as did swings in the US dollar.1 Gold prices traded within the US$ 1,305 — 1,360 range throughout the period, reached 18 - month highs in March and capped their third straight quarterly gain, a feat not seen since 2011.1 Haven demand was a key support as exchange - traded gold holdings of 2,269 metric tons (mt) neared a five - year high.1 The Fed is widely expected to boost borrowing costs, and investors have been carefully watching the central bank's statements to see whether it targets more rate increases in 2018 than previously projected.

As you can see the, divergence between the S&P 500 and the high yield bond market has reached an absurd level.

We have viewed a 10 - year Treasury yield range of 3.50 - 4.00 % as a more challenging level for equity headwinds than a market environment with 3.00 % 10 - year Treasury yields.

The 10 - year US bond yield breaking through the 3 per cent danger level worries India, as it does every emerging market.

Structural factors such as aging populations, poor productivity growth and high debt levels mean historically low government bond yields are likely here to stay.

Required yield is the minimum acceptable return that investors demand as compensation for accepting a given level of risk.

Toronto - Dominion Bank has lifted its posted rate for five - year fixed mortgages by 45 basis points to 5.59 percent as government bond yields touched their highest levels since 2011 this week.

The Great Plains and the Midwestern part of the United States have experienced extremely cold temperatures during the early spring as that is causing some concerns on crop yields as I do think wheat prices could test the $ 5 level possibly in next week's trade.

Both valuations and consumer sentiment may be at high levels, but with stable real yields, rising productivity and «normalised» valuations, the equity outlook is not necessarily negative — as long as economic growth continues.

However, they remain close to the low level prevailing before the Asian crisis, reflecting the generally benign environment for most emerging markets as well as investor appetite for higher yields than currently prevail in industrial countries.

With interest rates on low - risk investments falling to low levels in many countries, investors have sought to maintain yields by moving into higher - risk assets such as corporate debt and emerging market debt.

Tuesday April 24: Five things the markets are talking about U.S dollar bulls seem to have finally found some much needed support from interest rates as U.S bond yields climb toward levels unseen in nearly four - years.

Past this level, I consider the investment as a high dividend yield stocks and I would rather stay away from it.

Putting aside the performance of bonds during the bear market beginning in 1980 (both because the starting yields on Treasuries were so high but also because the bear market was relatively mild as the decline began from relatively low levels of valuation), what's interesting about the above chart is how dependably bonds protected a portfolio during equity bear markets.

Yields moved lower as the yield - to - worst of the S&P / BGCantor Current 10 Year U.S. Treasury Bond Index is now at a 2.49 % which brings it back down to level Read more -LSB-...]

While the prospect of higher interest rates will keep investors on edge, it's not like we're returning to double - digit levels or the Fed is moving its terminal rate.So even the uptick in ten - year yields to 3 % or even 3.25 % is unlikely to kill the equity market rally as the benefits from fiscal stimulus should continue to feed through the markets.

But until the market takes out the significant 108.15 level I continue to view the current move as little more than a pre FOMC meeting squeeze driven by yields and positioning and believe there will be substantial resistance between 107.50 - 108 levels.

The current valuation of the S&P 500 is lofty by almost any measure, both for the aggregate market as well as the median stock: (1) The P / E ratio; (2) the current P / E expansion cycle; (3) EV / Sales; (4) EV / EBITDA; (5) Free Cash Flow yield; (6) Price / Book as well as the ROE and P / B relationship; and compared with the levels of (6) inflation; (7) nominal 10 - year Treasury yields; and (8) real interest rates.

Since 2010, the level of the 10 - year Treasury yield has explained approximately 45 % of the variation in the relative valuation — defined as the valuation of the sector versus the broader market — for the utilities sector.

Toronto — Dominion Bank has lifted its posted rate for five - year fixed mortgages by 45 basis points to 5.59 % as government bond yields hit their highest levels since 2011.

As many fixed income investors have discovered in the low interest rate environment of the past several years, opportunities to achieve better levels of income exist, but thoughtful consideration of the potentially higher risks associated with the hunt for better yield is essential.

Others, such as the tendency for investors to become increasingly eager to chase high yields as the general level of interest rates falls, suggest a need for caution.

The level of yields — around 4 1/4 per cent at present — looks low not only on historical comparisons but also relative to normal benchmarks such as the growth rate of nominal GDP, which in the US is currently around 6 per cent (Graph 16).