Sentences with phrase «central bank intervention»

The impact of central bank intervention has already weakened progressively in recent years, because it relies on the ability of fools to constantly raise the ante.

This is in contrast to the situation in late 2003 / early 2004 when movements in many east Asian currencies were limited by substantial central bank intervention in the market.

To those critics, the «search for yield» is an artificial and dangerous phenomenon caused by central bank interventions.

Without central bank intervention, the current level of interest rates would most certainly correct, but central banks change course slowly.

The decade since the global financial crisis has seen widespread central bank intervention in markets to keep interest rates low.

13 Such more direct central bank interventions in securities markets could include outright purchases and sales of securities to support the functioning of particular markets that are judged as critical to financial stability.

There's also little evidence to suggest central bank intervention will have long - term success.

Clearly I would submit that there was a benefit to Japanese central bank intervention.

Moreover, the benefits of central bank interventions are becoming progressively smaller and short - lived (nearly log - periodic in fact, to borrow a term from crash dynamics).

The answer could be that while central bank interventions increased the monetary base, or M0 money supply, those dollars were held in reserve by the banking system.

Comments: «In addition to forecasting positive earnings growth this year (which we did not in 2012), we are also using a slightly higher multiple to reflect the positive impact of heavy central bank intervention on the equity risk premium.»

Yields in the $ 14 trillion market for U.S. government debt touched record lows in 2016, driven by years of aggressive central bank intervention in the wake of the 2008 - 2009 financial crisis to keep interest rates low to stimulate the economy.

China's domestic stock markets doubled in value in the space of less than a year only to fall by 30 % during three weeks in late June through early July, before rising sharply again after central bank intervention.

This essentially removes the notion of a bank run, rending central bank intervention less relevant.

«Unprecedented central bank intervention in the marketplace has driven valuations to irrational levels,» Peden says.

They now find themselves in an environment where central bank intervention has resulted in record - high bond valuations.1 This can present bond investors with two key problems:

(I will argue the decline that began in 2015 would have likely been substantially larger had it not been for global coordinated Central Bank interventions.)

Without central bank intervention the capital account must balance the current account, so that if there were significant net inflows or outflows on the capital account, these net flows would force the RMB up or down in order that the current account surplus or deficit balances the capital account.

The U.S. equity markets have only recently rallied because of central bank intervention and short covering.

«We are at the beginning stages now of a new bull market that's going to be driven now more by earnings growth and economic expansion as opposed to the nine - year - old secular bull market that was driven by central bank intervention and political posturing,» the president and chief investment officer at Hennion & Walsh said on «Power Lunch.»

Central bank intervention in global bond markets has «crowded out» many traditional fixed income investors, driving them to seek yield and income from non-traditional and riskier asset classes such as high yield, emerging markets debt, leveraged loans and private credit.

The majority of institutional investors share the view that central bank interventions are necessary, which goes far in explaining the unprecedented disparity between NASDAQ and commodity prices.

Since 2009, central bank intervention has distorted prices versus historical norms to an astonishing degree.

The size of central bank intervention has been enormous in terms of the amount of base money that has been created since the global financial crisis, but is also distressingly small in terms of its ability to actually support prices in the absence of investor risk - seeking.

As Giancarlo notes, we're in the middle of «an extraordinary period of governmental and central bank intervention in the U.S. economy that is widely distorting the nature and functioning of global capital markets.»

One of the costs for consumers of central bank intervention has been the transfer of trillions of dollars in income from savers to debtors such as banks over the past decade.

The quote above embodies two of the concepts I've been discussing for quite some time in the weekly Short Seller's Journals: Central Bank intervention will ultimately fail in spectacular fashion; the Too Big To Fail Banks (TBTFs) currently have more leverage and OTC derivatives — the latter well hidden off - balance - sheet — than just before the 2008 financial crisis / de facto collapse.

com's Bill «Midas» Murphy about the extreme intervention in the precious metals market and the catalysts that will eventually override the Central Bank intervention.

Present market conditions now match 6 other instances in history: August 1929 (followed by the 85 % market decline of the Great Depression), November 1972 (followed by a market plunge in excess of 50 %), August 1987 (followed by a market crash in excess of 30 %), March 2000 (followed by a market plunge in excess of 50 %), May 2007 (followed by a market plunge in excess of 50 %), and January 2011 (followed by a market decline limited to just under 20 % as a result of central bank intervention).

Central bank intervention in the currency market — particularly if it is coordinated among different nations — can sometimes lead to a reversal of trend.

Typical causes include the carry trade (i.e. speculation), changes in a country's current account and central bank intervention.

In this book, Kathy Lien — Director of Currency Research for one of the most popular Forex providers in the world — describes everything from time - tested technical and fundamental strategies you can use to compete with bank traders to a host of more fundamentally - oriented strategies involving intermarket relationships, interest rate differentials, option volatility, news events, and central bank intervention.

We don't spend a lot of time worrying about macroeconomics, but we have been concerned by the scale of central bank interventions.

His latest subject, while less known, was one of the most influential financial and political journalists of the nineteenth century and still holds sway among economists because he authored the doctrine of central bank intervention.