Sentences with phrase «end of the yield curve»

He said the team thinks there aren't enough rate hikes priced into the fixed - income market and therefore he likes the long end of the yield curve, or longer duration bonds.

Smaller - than - expected announcements of the German current account and trade balance were associated with rising yields at both ends of the yield curve.

Nevertheless, Canada has been able to control inflation and has been a successful inflation targeter since 1991, influencing economic activity and aggregate prices through adjustments in interest rates at the short end of the yield curve.

Securities on the long end of the yield curve have longer maturities.

These announcements generally had larger effects on the short end of the yield curve.

The RBA uses the operating technique which has come universal in countries with deregulated financial markets: the Bank can influence liquidity in the payments clearing system, and is allows us to shift interest rates at the very short end of the yield curve.

TLH offers intentionally truncated exposure to the long end of the yield curve due to its 10 - 20 year maturity bracket.

Any deviation from a «sensible» course for monetary policy would likely be penalised by movements in the longer end of the yield curve or by movements in the exchange rate.

For example, it is often useful to view the short - end of the yield curve as being primarily influenced by growth, with the long - end mostly reflecting inflation expectations.

Also, I've mentioned previously that the long end of the yield curve today is probably being influenced by international forces, as rates are lower overseas.

As the Federal Reserve raises rates, the short end of the yield curve has risen, as one would expect.

The long end of the yield curve has risen as well, perhaps on expectations of faster inflation.

I actually think the front end of the yield curve has become an alternative, the front end, the 2 - year, now at 2.50 is creating an alternative.

So far, the long end of the yield curve suggests the Fed has lost control of that argument.

With the exception of the very front end of the yield curve, Canadian government bond yields declined, as did spreads on investment grade corporate bonds.

These involve the investor borrowing at the short end of the yield curve, particularly in those countries where rates have been very low, such as the United States, Japan and Switzerland, and investing either further out along the yield curve or in countries where interest rates have been relatively high, such as Australia and the United Kingdom.

In April, the long end of the yield curve underperformed, and as municipal bonds have more of their interest rate exposure coming from the long end, this contributed to their underperformance.

In fixed income, rate hikes by the Fed have led to higher interest rates on the short end of the yield curve, while longer - term rates have remained more contained (despite recent increases following tax reform).

FRA: Given the potential in Europe for being the epicentre of perhaps the next financial crisis as Peter Boockvar mentions, could we see international capital flows come from Europe and elsewhere to the U.S. markets especially as you mentioned there could be pressure on the long end of the yield curve with the movement into equities.

ETF.com: It sounds to me like many of the bond funds that are showing strength are ones targeting the long end of the yield curve.

We could then see the long end of the yield curve become somewhat unhinged despite all the financial suppression factors that have been holding it down.

At the long end of the yield curve, sentiment began to improve noticeably a year ago, reflecting the decline in the Budget deficit and the improvement in inflation.

Unfortunately market rates — especially at the short end of the yield curve — are subject to an observer - participant feedback loop with the Fed, so the dilemma can not be entirely avoided.

In most countries, the short end of the yield curve implies a view that official interest rates are at their trough for the current cycle, and attention is now focused mainly on the question of when interest rates will begin to rise.

They want to stay on the short end of the yield curve to control their interest rate risk but are taking on an increasing amount of lower credit - quality issuers in an attempt to increase their yield.

A Fed hike in the back half of the year will likely cause rising volatility in the short - end of the yield curve.

Yield curve be nimble, yield curve be quick, yield curve go under limbo stick.Okay, no great allusion in the song there, but I sit watching the long end of the yield curve rally as the short end falls slightly.

The Fed is flooding the short end of the yield curve with liquidity for now, until inflaton pressures become intolerable.

Flooding the short end of the yield curve with liquidity has overwhelmed those seeking permanent liquidity cheaply, by offering large amounts of temporary liquidity cheaply, and saying that the program could become a regular part of the Fed's policy tools.

Finally, liquidity seems to be slipping — too many markets with abnormalities in the short end of the yield curve.

«exceptionally low levels for the federal funds rate for an extended period» means that the short end of the yield curve will stay flat as a pancake.

«The short end of the yield curve doesn't act like the middle or the long end,» he says.

There seems to be a grab for the long end of the yield curve, agents buying bit of the far future, perhaps to fund or immunize long liabilities.

In the short - run, it means the long end of the yield curve will rally, in the long run, macroeconomic forces will dominate.

Means the front end of the yield curve will hug zero for some time, absent a crisis in inflation or credit.

A measured tightening pace is expected, and most of the pressure will be on the short end of the yield curve.

Higher interest rates on the short end of the yield curve have buoyed fees earned on money market...

Active bond managers focused on the short end of the yield curve did far better than their counterparts focused on equities and other pockets of the bond markets.

Presently, the Fed can not operate at the short end of the yield curve because the short - term rate the Fed generally targets --- the overnight federal funds rate — is at or very near zero.

Of course, now that the U.S. Federal Reserve has raised rates once [from 25 basis points to 50 basis points in December 2015, the first rise in seven years] and threatens to do so again, investors are staying near the short end of the yield curve, knowing that the longer you go out the bigger the capital losses should rates spike significantly higher.

«Although the long end of the yield curve has rallied in recent months, we believe our underweight is justified from a secular viewpoint,» Mather, Kiesel and Worah wrote in a Nov. 30 commentary posted on the firm's website.

Primarily, it has allowed the long end of the yield curve to drop quite a bit, reducing borrowing costs for borrowers, corporations and governments alike.

M2 Monetary velocity is still low, and the long end of the yield curve does not have yield enough priced in for additional growth and inflation.

The long end of the yield curve for U.S. corporate and municipal bonds could be held range bound over the next several months as there are various forces at play.

Given these circumstances, a bond ETF investor has to look at riskier propositions like bond funds with higher duration (i.e. a measure of interest rate risk) since bond funds targeting the higher end of the yield curve generally have higher rates of interest attached.

Historically, the Fed sought to target only the short - end of the yield curve by targeting different overnight lending rates.

It has absolutely depressed rates on the long - end of the yield curve, which makes it cheaper for businesses, individuals, and governments to borrow for periods of up to 30 years.

Bond investors should therefore confine maturities to the front end of yield curves where continuing low yields and downside price protection are more probable.

On that subject I would agree that you would want to stay on the short end of the yield curve.

Unless the long end of the yield curve reprices up in yield, there is no way those higher Fed funds rates will happen.