Sentences with phrase «at bond spreads»

Wall Street looks at bond spreads and P / Es.

Not exact matches

Bond prices made a high for the year on Tuesday, and credit spreads are at year low's.

Type 3: The value - at - risk (VAR) shock in Japan in 2003 occurred when fears spread that the Bank of Japan, which was already doing QE before it was called QE, would taper its purchases of Japanese Government Bonds.

For the uninitiated, a bond ladder is a way to spread out interest rate risk by buying bonds that mature at different times.

The spread between Australian and US bond yields has contracted from nearly 450 basis points at the beginning of the 1990s to an average of about 25 basis points more recently.

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.

That decline in yields chipped away at the spread between 2 - year Treasuries US2YT = RR, which yield 2.282 percent, and longer - term bonds.

What is to stop U.S. banks and their customers from creating $ 1 trillion, $ 10 trillion or even $ 50 trillion on their computer keyboards to buy up all the bonds and stocks in the world, along with all the land and other assets for sale, in the hope of making capital gains and pocketing the arbitrage spreads by debt leveraging at less than 1 % interest cost?

-- Goethe What is to stop U.S. banks and their customers from creating $ 1 trillion, $ 10 trillion or even $ 50 trillion on their computer keyboards to buy up all the bonds and stocks in the world, along with all the land and other assets for sale, in the hope of making capital gains and pocketing the arbitrage spreads by debt leveraging at less than 1 % interest cost?

The BofA Merrill Lynch high - yield index is trading at roughly 600 basis points versus government bonds, but if energy, metals and mining is excluded, it's about 80 basis points less in terms of spread.

Here, we take a look at the more recent June «Bond Market Group» minutes; the main concern was that, despite a functioning JGB market, there has been a notable increase in bid - ask spreads and general decrease in liquidity since the start of aggressive «QQE» last October.

«Should the Portuguese situation continue to deteriorate, risk aversion contagion could quickly spread to other euro zone member states» bonds and other asset classes,» Adrian Miller, director of fixed - income strategy at GMP Securities LLC in New York, wrote in a note to clients.

The resulting increase in corporate bond issuance has pushed up swap spreads, with the spread on US 10 - year (bank / government) swaps, for example, recently at its highest level for several years (Graph 7).

After providing double - digit returns for many years, REITs are now well off the previous highs and trade at an estimated 15 % discount to net asset value (Source: TD Securities) and yielding an average of 7 %, a spread of 2.75 % over 10 - year bonds.

Investors will also look at credit spreads for clues as to where the bond and other markets may be headed.

This led to quite a sharp narrowing in the spread in bond yields between the two countries, from around 130 basis points at the time of the previous Statement to a low of 85 basis points in early December.

There is a common misconception that looking at credit spreads gives you a complete picture of the credit risk of one bond compared to another.

If you are looking at a 10 year corporate bond which is yielding 5 % for example, and at the same time the 10 Year treasury bond is yielding 2 %, then the credit spread is 300 basis points (3 %).

By looking at how the credit spread for a category of bonds is changing, you can get an idea of how «cheap» (wide credit spread) or «expensive» (tight credit spread) the market for those bonds is related to historical credit spreads.

As you can see the credit spread for JCPenney Bonds at 769 basis points is much «wider» than the spread for Exxon Mobile bonds at 119 basis points (a much «tighter» or «narrow» spread than JCPeBonds at 769 basis points is much «wider» than the spread for Exxon Mobile bonds at 119 basis points (a much «tighter» or «narrow» spread than JCPebonds at 119 basis points (a much «tighter» or «narrow» spread than JCPenny).

European bond markets initially welcomed the deal made at the July summit, although the narrowing of spreads for peripheral bonds over German Bunds was relatively muted, perhaps signaling a measure of skepticism among investors about the ability of the eurozone to survive in the absence of a formal mechanism that ensures the sharing of liabilities among member states.

In addition to looking at credit spreads for individual bonds, investors will also look at the credit spread of different categories of bonds.

Investors typically evaluate corporate bonds by looking at their yield advantage, or «yield spread,» relative to U.S. Treasuries.

U.S. high - yield bond spreads are 34 basis points, or hundredths of a percentage point, tighter; cover spreads are 21 basis points tighter, and emerging - market credit excess returns are at 3.6 %.

The spread between Australian 10 - year bond yields and comparable US yields narrowed from 250 basis points a year ago to about 100 basis points at present (Graph 30).

As a result, the current spread between Australian and US 10 - year bond yields, of around 115 basis points, is much the same as at the time of the last Statement.

With the cash rate up by 50 basis points in late 2003 and yields on 10 - year bonds down a little over recent months, the spread has narrowed since early November to stand at around 50 basis points (Graph 67).

The healthy state of corporate balance sheets overall is also apparent in corporate bond spreads, which remain at relatively low levels.

«For the most part, investors can buy green bonds at similar spread levels to conventional bonds after adjusting for sector, curve and currency,» says Tang.

A liquid bond ETF tends to trade at a spread of 1 basis point (Source: Bloomberg, as of 6/12/2017).

Bond has obtained government grants and crafted a special curriculum at his college to study multiple issues related to PFOA contamination, from its levels in local maple syrup to how far pollution plumes have spread around various factories in the region.

On the heels of selling her swanky condo at 41 Bond St., the ex-wife of former NYC Mayor Mike Bloomberg has bought a two - bedroom spread on the Upper West Side for $ 4.95 million.

The second and third bonds were issued under the NDC in 2013 and 2014 at higher spreads of 5.4 % and 5.72 % respectively.

In contrast, a bond issued by a smaller company with weaker financial strength typically trades at a higher spread relative to Treasuries.

For example, if the five - year Treasury bond is at 5 % and the 30 - year Treasury bond is at 6 %, the yield spread between the two debt instruments is 1 %.

For example, a bond issued by a large, financially healthy company typically trades at a relatively low spread in relation to U.S. Treasuries.

If the 30 - year bond is trading at 6 %, then based on the historical yield spread, the five - year should be trading at around 1 %, making it very attractive at its current yield of 5 %.

Less trading volume results in larger bid / ask spreads, and thus bond funds trade at premiums and discounts to the actual value of the bonds backing up the fund.

I learned from a dear friend of mine who manages high yield at Dwight Asset Management (one of the largest fixed income management shops that you never heard of), that with high yield bonds, spreads over Treasuries aren't the most relevant measure for riskiness of the bonds.

Fundamental bond investors (like me) have been worried for a while, but usually it takes a few years of lending at low spreads before something breaks.

So, at the time that the strategy needs the most help, option costs are high (or payouts are chintzy and lapse rates go up), and corporate bond prcies sag due to wider spreads.

I learned from a dear friend of mine who manages high yield at Dwight Asset Management (one of the largest fixed income management shops that you never heard of), that with high yield bonds, spread...

2) More yield - seeking — spreads on mortgage bonds over Treasuries are at a 17 - year low, and as I measure it, and all - time low.

At the same time, the long June 10 - year Treasury note / Short June 30 - year Treasury Bond spread has closed in favour of the 10 - year note between February 8 and April 17 in 17 of the last 19 years!

Of note, the new Chinese muni bonds were priced tight at issuance and they continue to trade at tight credit spreads above the sovereign bond yields.

The proximate cause of this sell - off is a reappraisal of risk in the credit markets, starting first at subprime but now having spread to the riskier parts of corporate credit, namely high - yield bonds and loans to finance buy - outs.

I would have called, but there aren't any X Corp bonds to buy at levels you would have liked — the bonds are at least 0.30 % tighter in spread terms than when I last called, and I'm not sure that I can produce bonds here.

I look at the spreads offered for various classes of domestic bond risk.

That loss can be taken at maturity or it can be spread out over the life of the bond.

They can either switch to another five - year fixed rate preferred share security (with the rate being set at the then five - year Canada bond yield plus the initial spread) or a five - year floating rate preferred share with the yield set at the then 3 - month Treasury bill rate plus the initial spread.