These debt - based securities became particularly attractive after the financial crisis, as
central bank stimulus helped push the yields on many fixed - income securities lower.
Not exact matches
And more
stimulus from the European
Central Bank — which is
helping U.K. bonds even though Britain is outside the European Union — should keep rates low and bond prices high across Europe for a while.
The Fed's dovish stance, in conjunction with continued
stimulus from the European
Central Bank and the
Bank of Japan's adoption of negative interest rates in January, has
helped drive equity markets higher since mid-February.
But the danger of a
central bank willing to tighten economic conditions as the boost from fiscal
stimulus fades has
helped push down long - dated yields, while lifting short - dated yields.
The timing of Bernanke's easing raises the stakes for the Fed's four remaining policy meetings this year as investors focus on whether the
central bank will provide
stimulus for 2013 to
help the economy overcome the impact of the fiscal tightening due to take hold in January, said Vincent Reinhart, chief U.S. economist at Morgan Stanley.
While economic data out of major EMs has certainly been disappointing lately, many EM
central banks continue to conduct monetary
stimulus policies geared at
helping their economies grow.
Certainly
central banks» constant monetary
stimulus has
helped sustain securities prices.
The
central bank has launched a series of
stimulus measures to
help the economy of the 19 - nation eurozone and bring inflation to a healthier level.
In 2011, the Fed
helped coordinate worldwide
central bank stimulus as well as introduced «Operation Twist» — selling short - dated U.S. Treasuries to buy longer - dated U.S. Treasuries for the purpose of depressing borrowing costs.
Schembri also reaffirmed the
central bank's view that measures such as fiscal
stimulus from Ottawa are better suited at this point to
help improve financial stability because the benchmark interest rate is already very low.