Sentences with phrase «bond yields trend»

With bond yields trending higher, on days when market - moving economic data is released, bond investors react and the yield curve adjusts, helping to dampen the impact on risk - sensitive assets.

Not exact matches

«Over the last 15 years, the difference between the five year government bond yield and the overnight Bank of Canada rate has been a reliable indicator of the trend growth in the Canadian economy.
The Armageddon default would also likely temporarily decouple trends in U.S. and Canadian bond yields, which historically tend to move closely.
US election + BREXIT = populist repudiation of era of inequality, globalization, wage deflation; cements BofAML themes of peak Liquidity, Inequality, Globalization + Main St over Wall St. Electoral trends could mark secular low in long - term bond yields (Chart 1).
Long - term bond yields continue to extend their hostile upward trend, while other market internals continue to diverge as well.
The bond yield surge Thursday «brought additional confirmation of the end of the friendly springtime consolidation trend, and it took us one step closer to the highest yields in more than four years.»
Recent increases in inflation expectations have triggered repricing in the fixed - income markets, but we expect inflation and bond yields to trend only modestly higher.
Overall, there was no marked change in the sorry state of trend uniformity, and yield pressures actually worsened somewhat due to the bond market selloff.
We believe a step - up in risk aversion has led to a structural rise in precautionary savings, further dragging down bond yields across the curve — a trend that won't quickly change, as we write in our Global macro outlook The safety premium driving low rates.
As global bond yields fall to ever - lower levels, BlackRock Global Chief Investment Strategist Richard Turnill explores the reason for the downward trend.
The latest trend started in July when bond yields bottomed at record lows.
For many years now indexed bond yields have been on a downward trend.
Indeed, with trend uniformity and valuations both unfavorable here, a sharp decline in Treasury bond yields would actually worsen market conditions.
The Market Climate remains on a Crash Warning, characterized by extremely unfavorable valuations, unfavorable trend uniformity, and hostile yield trends, particularly long - term bond yields and various measures of risk premiums.
Junk bond funds are largely out of favor this year, but an interest - rate - hedged high - yield bond ETF is beating that trend.
In bonds, the Market Climate remained characterized last week by unfavorable yield levels and modestly favorable yield trends.
Higher oil prices would reinforce current market trends based on reflation: rising long - term bond yields and a shift out of perceived safer assets — bond proxies and low - volatility stocks — and into cyclical assets such as EM.
The market's continuing refusal to countenance the long - term reality described above has proven to be a recurring source of profits for those who are willing to buck the crowd and embrace the trend in falling long - term bond yields of the highest quality borrowers.
In bonds, the Market Climate last week remained characterized by relatively neutral yield levels and unfavorable yield trends.
She is a regular contributor of fixed income analysis to Saxo bank's News & Research hub where she outlined her view of bond market trends across the developed and emerging market spaces, as well as in investment grade and high - yield bonds.
Meanwhile, emerging market bonds that make up the J.P. Morgan EMBI Global Core Index, currently offer similar yields and may benefit from global reflationary trends despite the potential challenge of higher valuations and a rising U.S dollar in the short term.
This week's chart shows how U.S. dividend stocks have outperformed the S&P 500 over the past year, a trend we have also seen in other regions, as ultralow bond yields have intensified the hunt for income.
Even so, this rate remains 1.9 percentage points under the previous cyclical low early in 1994, reflecting the trend decline in bond yields over recent years.
CORPORATE FINANCING NEWS: CORPORATE DEBT By Gordon Platt US interest rates have been in a general declining trend since 1981, when Paul Volcker was Federal Reserve chairman and the 10 - year Treasury bond yielded 16 %.
This second trend borne from ultra-loose monetary policy has forced many investors to seek out higher - yielding alternatives including dividend stocks, which, on average, yield more than 10 - year government bonds in most major developed markets, including Canada (see chart below).
Another interesting trend has been the interest in high yield bonds.
In bonds, the Market Climate was characterized by unfavorable yield levels and moderately favorable yield trends.
A fund that invests in high - yield bonds, by combining fundamental research, industry allocation, and macroeconomic trends.
Though both the S&P / LSTA U.S. Leveraged Loan 100 Index and the S&P U.S. Issued High Yield Corporate Bond Index have seen their yields trend downward from the start of the year, loans have experienced more downward movement dropping 75 bps, while high yield only moved 31Yield Corporate Bond Index have seen their yields trend downward from the start of the year, loans have experienced more downward movement dropping 75 bps, while high yield only moved 31yield only moved 31 bps.
The index will rank U.S. Treasuries, U.S. investment grade corporate bonds, U.S. investment grade mortgage backed securities, U.S. high yield debt and U.S. dollar denominated debt of emerging market issuer according to their momentum / trend scores.
Yet while nominal bond yields have declined, the credit risk component of US Treasuries has been on an increasing trend since last year.
As global bond yields fall to ever - lower levels, BlackRock Global Chief Investment Strategist Richard Turnill explores the reason for the downward trend.
Learn about two high - yield bond ETFs that could be adversely affected if the trend of increasing corporate default rates continues.
This, though, was a function of the trend in interest rates; at the start of those periods, the funds were buying bonds with higher yields than bonds offer today.
A decades - long trend of falling interest rates and falling inflation — and inflation expectations — seemed to have ended, as the 10 - year U.S. government bond yield broke the downward trend since 1987,» says chief strategist at Sparinvest David Bakkegaard Karsbøl in his monthly comment for February.
While there was no significant or immediate impact on China's onshore bond market, the yield - to - maturity tracked by the S&P China Sovereign Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2bond market, the yield - to - maturity tracked by the S&P China Sovereign Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2015.
No doubt, the slope of the yield curve, as measured by the spread between two - and 10 - year government bonds, has been flattening since 2014 in both Canada and the United States, and the trend has recently intensified: as we headed into December, the curve sat at its flattest level since the Great Recession.
Of course, the flip side of this becomes «What happens when bond yields start trending higher?»
The yield of Chinese bonds trended lower, aligning with the global market.
This week's chart shows how U.S. dividend stocks have outperformed the S&P 500 over the past year, a trend we have also seen in other regions, as ultralow bond yields have intensified the hunt for income.
While the yield of the S&P Current 10 - Year Japan Sovereign Bond Index continued to hover around zero, the yields of U.S. Treasuries were trending higher this quarter on the back of the rising - interest - rate environment.
Yields of Canadian corporate investment - grade and high - yield bonds have been trending lower (up in price) since the beginning of March 2016.
Bond yields hit their year - to - date lows in early September, with the 10 - year Treasury yield getting as low as 2.03 % before trending back up towards 2.40 %.
The current trend for the 5 year bond yield is upward.
Their main performance metric is 7 - factor hedge fund alpha, which corrects for seven risks proxied by: (1) S&P 500 Index excess return; (2) difference between Russell 2000 Index and S&P 500 Index returns; (3) 10 - year U.S. Treasury note (T - note) yield, adjusted for duration, minus 3 - month U.S. Treasury bill yield; (4) change in spread between Moody's BAA bond and T - note, adjusted for duration; and, (5 - 7) excess returns on straddle options portfolios for currencies, commodities and bonds constructed to replicate trend - following strategies in these asset classes.
Beyond lower rates, the other key trend in the bond markets is widening credit spreads, or the difference between the yields of U.S. Treasuries and credit instruments of comparable maturity.
By most measures, the yields of municipal bonds remain higher than the historical trend.
New supply from the US Treasury pushed yields up (bond prices down) and aided a global downward trend.
More on MoneyWatch: Active Bond Managers Fare No Better The Economy Isn't the Same as the Market Why the Concern over Negative TIPS Yields Is Overblown When Dollar - Cost Averaging Makes Sense When Dollar - Cost Averaging Doesn't Make Sense Hear Larry Swedroe discuss current investment trends and topics every Sunday at noon on 550 AM KTRS in St. Louis or streaming via the KTRS Web site.
The trend to higher bond yields was interrupted in March.
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