You'll really want to check
the forward guidance of the Federal Reserve to see what may be ahead for mortgage...
So,
forward guidance of lower interest rates will encourage a rapid market response to bring rates down towards the Fed's desired levels.
You'll really want to check
the forward guidance of the Federal Reserve to see what may be ahead for mortgage rates.
Even though they beat earnings expectations,
their forward guidance of only 1 % growth has scared a lot of investors away.
Not exact matches
Important factors that could cause actual results to differ materially from those reflected in such
forward - looking statements and that should be considered in evaluating our outlook include, but are not limited to, the following: 1) our ability to continue to grow our business and execute our growth strategy, including the timing, execution, and profitability
of new and maturing programs; 2) our ability to perform our obligations under our new and maturing commercial, business aircraft, and military development programs, and the related recurring production; 3) our ability to accurately estimate and manage performance, cost, and revenue under our contracts, including our ability to achieve certain cost reductions with respect to the B787 program; 4) margin pressures and the potential for additional
forward losses on new and maturing programs; 5) our ability to accommodate, and the cost
of accommodating, announced increases in the build rates
of certain aircraft; 6) the effect on aircraft demand and build rates
of changing customer preferences for business aircraft, including the effect
of global economic conditions on the business aircraft market and expanding conflicts or political unrest in the Middle East or Asia; 7) customer cancellations or deferrals as a result
of global economic uncertainty or otherwise; 8) the effect
of economic conditions in the industries and markets in which we operate in the U.S. and globally and any changes therein, including fluctuations in foreign currency exchange rates; 9) the success and timely execution
of key milestones such as the receipt
of necessary regulatory approvals, including our ability to obtain in a timely fashion any required regulatory or other third party approvals for the consummation
of our announced acquisition
of Asco, and customer adherence to their announced schedules; 10) our ability to successfully negotiate, or re-negotiate, future pricing under our supply agreements with Boeing and our other customers; 11) our ability to enter into profitable supply arrangements with additional customers; 12) the ability
of all parties to satisfy their performance requirements under existing supply contracts with our two major customers, Boeing and Airbus, and other customers, and the risk
of nonpayment by such customers; 13) any adverse impact on Boeing's and Airbus» production
of aircraft resulting from cancellations, deferrals, or reduced orders by their customers or from labor disputes, domestic or international hostilities, or acts
of terrorism; 14) any adverse impact on the demand for air travel or our operations from the outbreak
of diseases or epidemic or pandemic outbreaks; 15) our ability to avoid or recover from cyber-based or other security attacks, information technology failures, or other disruptions; 16) returns on pension plan assets and the impact
of future discount rate changes on pension obligations; 17) our ability to borrow additional funds or refinance debt, including our ability to obtain the debt to finance the purchase price for our announced acquisition
of Asco on favorable terms or at all; 18) competition from commercial aerospace original equipment manufacturers and other aerostructures suppliers; 19) the effect
of governmental laws, such as U.S. export control laws and U.S. and foreign anti-bribery laws such as the Foreign Corrupt Practices Act and the United Kingdom Bribery Act, and environmental laws and agency regulations, both in the U.S. and abroad; 20) the effect
of changes in tax law, such as the effect
of The Tax Cuts and Jobs Act (the «TCJA») that was enacted on December 22, 2017, and changes to the interpretations
of or
guidance related thereto, and the Company's ability to accurately calculate and estimate the effect
of such changes; 21) any reduction in our credit ratings; 22) our dependence on our suppliers, as well as the cost and availability
of raw materials and purchased components; 23) our ability to recruit and retain a critical mass
of highly - skilled employees and our relationships with the unions representing many
of our employees; 24) spending by the U.S. and other governments on defense; 25) the possibility that our cash flows and our credit facility may not be adequate for our additional capital needs or for payment
of interest on, and principal
of, our indebtedness; 26) our exposure under our revolving credit facility to higher interest payments should interest rates increase substantially; 27) the effectiveness
of any interest rate hedging programs; 28) the effectiveness
of our internal control over financial reporting; 29) the outcome or impact
of ongoing or future litigation, claims, and regulatory actions; 30) exposure to potential product liability and warranty claims; 31) our ability to effectively assess, manage and integrate acquisitions that we pursue, including our ability to successfully integrate the Asco business and generate synergies and other cost savings; 32) our ability to consummate our announced acquisition
of Asco in a timely matter while avoiding any unexpected costs, charges, expenses, adverse changes to business relationships and other business disruptions for ourselves and Asco as a result
of the acquisition; 33) our ability to continue selling certain receivables through our supplier financing program; 34) the risks
of doing business internationally, including fluctuations in foreign current exchange rates, impositions
of tariffs or embargoes, compliance with foreign laws, and domestic and foreign government policies; and 35) our ability to complete the proposed accelerated stock repurchase plan, among other things.
Shares whipsawed before settling up 3 percent after hours as investors digested the good news
of an earnings beat and higher average iPhone sales price, mixed with disappointing news around
forward guidance.
The asymmetry
of prospective rate moves in different parts
of the curve with short rates at the zero lower bound, explicit
forward guidance about future policy decisions and massive asset purchase programs may result in a higher likelihood
of one - sided markets, which may in turn impair liquidity, or at least lead one to conclude from liquidity indicators that markets have become more illiquid.
«We remain firmly convinced that an extraordinary amount
of monetary policy support, including through our
forward guidance, is still necessary for the present level
of underutilized resources to be re-absorbed and for inflation to return to and durably stabilize around levels close to 2 percent within a meaningful medium - term horizon,» Draghi said.
Any statements made herein that are not statements
of historical fact, including statements about T - Mobile US, Inc.'s plans, outlook, beliefs, opinions, projections,
guidance, strategy, store openings, position within the industry relative to its competitors, deployment
of spectrum and expected network modernization and other advancements, are
forward - looking statements.
A number
of Mozillians, including LGBT individuals and allies, have stepped
forward to offer
guidance and assistance in this.
These
forward - looking statements include, among other things, statements about full - year 2018
guidance, project milestones, increased opportunities in the market, backlog, bids and change orders outstanding, target projects and revenue opportunity pipeline, to the extent these may be viewed as indicators
of future revenues or profitability, the expected impacts
of the F2G program and progress toward completing the proposed combination with CB&I and the anticipated benefits
of that transaction.
On January 17, National Bank's Stéfane Marion, one
of the better Bay Street economists, wondered if Bank
of Canada Governor Stephen Poloz might adopt explicit
forward guidance to weaken the value
of the dollar.
Shares
of Twitter were tanking in premarket trading on Thursday after
forward guidance missed expectations by a landslide and quarterly revenue was far below estimates.
The BoC embraced
forward guidance in 2009 - 2010 and the U.S. Federal Reserve, as well as the Bank
of England (now headed by former BoC Governor Marck Carney) are still using it.
As the year draws to a close, many
of us are looking for
guidance to keep us moving
forward in the new year.
This release contains
forward - looking statements within the meaning
of the safe harbor provisions
of the Private Securities Litigation Reform Act
of 1995, including, among others, statements regarding sales and earnings
guidance and any statements about our expectations, plans, strategies or prospects.
Delay as she might the tapering, the signature monetary policy tool
of the next Fed chair will be
forward guidance, not quantitative easing.
Ever since the bank introduced that extraordinary
forward guidance in December
of last year, Fed Chair Ben Bernanke has been at pains to explain to investors and reporters that the 6.5 % target is a «threshold» and not a «trigger,» meaning that the bank could decide to keep rates low for longer if it is not satisfied that 6.5 % really indicates a substantial improvement.
The Fed has long been turning away from QE and putting greater emphasis on
forward guidance; in other words, trying to affect consumer and businesses behaviour by making promises about the future course
of monetary policy.
The assets that, until recently, made her look like the obvious choice to succeed Bernanke — being a Fed veteran, having intimate knowledge
of QE and
forward guidance, a well - known stance on monetary policy and a scholarly focus on unemployment — now seem like weapons to fight the battle
of yesteryear.
The art
of forward guidance is the art
of making clear, credible promises and the Fed's record on this has been a bit spotty.
Netflix said that is «assumes much
of this momentum» in subscriber growth will continue going
forward, which is great news for investors, as some on Wall Street were bracing for weak
guidance.
The Bank
of Canada soon could enter a zone where
forward guidance is entirely appropriate.
After all, Mr. Carney more or less invented
forward guidance in April, 2009, when, as head
of the Bank
of Canada, he committed to holding the bank's target for the overnight interest rate until the summer
of 2010.
Canada has plenty
of room for
forward guidance before inflationary pressures are confronted.
In more recent applications,
forward guidance has become more explicitly outcome - or data - based, with some central banks identifying thresholds such as specific rates
of inflation or unemployment which, if crossed, would prompt a reconsideration
of their policy track.
To measure the natural rate, I use a structural model described in Cúrdia et al. (2015) and incorporate the effects
of forward guidance — monetary policy announcements about what path the interest rate is likely to follow.
While a number
of vocal critics dispute the wisdom
of these actions, there is general agreement - based on a growing body
of evidence - that
forward guidance and quantitative easing have had a significant and beneficial impact.
Not only could we cut short - term interest rates, but we also could extend the maturity
of our Treasury and agency MBS portfolio, purchase additional Treasury and agency mortgage - backed securities and engage in
forward guidance with respect to the future path
of short - term interest rates.
Poloz later told a Senate committee that the bank did not have a lot
of traditional tools left to boost the economy, but could use unconventional measures like
forward guidance, asset purchases, quantitative easing and negative interest rates.
The increased certainty provided by
forward guidance regarding the path
of future rates reinforced this stimulative effect.
If the Fed returned Fed Funds to its lower bound level in the context
of a recession, I would expect to see 10 year rates fall substantially perhaps to 1 percent without any QE or
forward guidance.
This last element,
of course, goes along with our move to explicit
forward guidance, as part
of our efforts to provide stimulus at the zero lower bound.
«Nonetheless, it perhaps looks as though a more formal form
of forward guidance is as much as we will get next month.»
Carney, who became governor on July 1, issued
forward guidance on interest rates during his previous job as head
of the Bank
of Canada — the idea being that people would be more likely to borrow if they knew rates were going to remain low.
The official statement is due Wednesday afternoon, where officials could provide some
forward guidance on the pace and timing
of future rate adjustments.
With inflation well below its longer - run goal and high unemployment, the FOMC decided at its March meeting to maintain a «highly accommodative» policy stance: a federal funds rate in a range
of 0 to 25 basis points with
forward guidance based on economic thresholds.
Shares
of NCR Corporation (NYSE: NCR) were down 9.6 % as
of 3:00 p.m. EST after the payment and banking solutions company announced solid fourth - quarter 2017 results, but followed with disappointing
forward guidance.
Effective
forward guidance on interest rates causes market participants to lower their expectations and uncertainty about future path
of interest rates and to anticipate that easier financial conditions will persist well in to the future.
Asset purchases strengthen the credibility
of the
forward guidance on interest rates, while
forward guidance provides information about how long the FOMC is likely to hold on to the assets it purchases.
To sum up, once interest rates reach very low levels, the central bank still has meaningful tools that it can deploy in its pursuit
of its inflation target: offering
forward guidance to financial markets to enhance policy effectiveness, large - scale asset purchases, funding for credit, and pushing short - term interest rates below zero.
These include
forward guidance on the future path
of its policy rate, stimulating the economy through large - scale asset purchases (commonly referred to as quantitative easing), funding to ensure that credit is available to key economic sectors, and moving its policy rate below zero to encourage spending.
By
forward guidance I mean more than simple boilerplate language a central bank might use to indicate the expected direction
of the next interest rate move.
BlackBerry's ability to manage inventory and asset risk; BlackBerry's reliance on suppliers
of functional components for its products and risks relating to its supply chain; BlackBerry's ability to obtain rights to use software or components supplied by third parties; BlackBerry's ability to successfully maintain and enhance its brand; risks related to government regulations, including regulations relating to encryption technology; BlackBerry's ability to continue to adapt to recent board and management changes and headcount reductions; reliance on strategic alliances with third - party network infrastructure developers, software platform vendors and service platform vendors; BlackBerry's reliance on third - party manufacturers; potential defects and vulnerabilities in BlackBerry's products; risks related to litigation, including litigation claims arising from BlackBerry's practice
of providing
forward - looking
guidance; potential charges relating to the impairment
of intangible assets recorded on BlackBerry's balance sheet; risks as a result
of actions
of activist shareholders; government regulation
of wireless spectrum and radio frequencies; risks related to economic and geopolitical conditions; risks associated with acquisitions; foreign exchange risks; and difficulties in forecasting BlackBerry's financial results given the rapid technological changes, evolving industry standards, intense competition and short product life cycles that characterize the wireless communications industry, and the company's previously disclosed review
of strategic alternatives.
As with
forward guidance, this can enhance the impact
of lower policy rates by spreading the effect to a wider range
of borrowers, thereby boosting economic growth.
Many factors could cause BlackBerry's actual results, performance or achievements to differ materially from those expressed or implied by the
forward - looking statements, including, without limitation: BlackBerry's ability to enhance its current products and services, or develop new products and services in a timely manner or at competitive prices, including risks related to new product introductions; risks related to BlackBerry's ability to mitigate the impact
of the anticipated decline in BlackBerry's infrastructure access fees on its consolidated revenue by developing an integrated services and software offering; intense competition, rapid change and significant strategic alliances within BlackBerry's industry; BlackBerry's reliance on carrier partners and distributors; risks associated with BlackBerry's foreign operations, including risks related to recent political and economic developments in Venezuela and the impact
of foreign currency restrictions; risks relating to network disruptions and other business interruptions, including costs, potential liabilities, lost revenues and reputational damage associated with service interruptions; risks related to BlackBerry's ability to implement and to realize the anticipated benefits
of its CORE program; BlackBerry's ability to maintain or increase its cash balance; security risks; BlackBerry's ability to attract and retain key personnel; risks related to intellectual property rights; BlackBerry's ability to expand and manage BlackBerry ® World ™; risks related to the collection, storage, transmission, use and disclosure
of confidential and personal information; BlackBerry's ability to manage inventory and asset risk; BlackBerry's reliance on suppliers
of functional components for its products and risks relating to its supply chain; BlackBerry's ability to obtain rights to use software or components supplied by third parties; BlackBerry's ability to successfully maintain and enhance its brand; risks related to government regulations, including regulations relating to encryption technology; BlackBerry's ability to continue to adapt to recent board and management changes and headcount reductions; reliance on strategic alliances with third - party network infrastructure developers, software platform vendors and service platform vendors; BlackBerry's reliance on third - party manufacturers; potential defects and vulnerabilities in BlackBerry's products; risks related to litigation, including litigation claims arising from BlackBerry's practice
of providing
forward - looking
guidance; potential charges relating to the impairment
of intangible assets recorded on BlackBerry's balance sheet; risks as a result
of actions
of activist shareholders; government regulation
of wireless spectrum and radio frequencies; risks related to economic and geopolitical conditions; risks associated with acquisitions; foreign exchange risks; and difficulties in forecasting BlackBerry's financial results given the rapid technological changes, evolving industry standards, intense competition and short product life cycles that characterize the wireless communications industry.
«Specifically, fixed income investors should respect the technicals for now, emphasize the front end
of curves on the basis
of the policy pivot (from [quantitative easing] to
forward guidance), and consider TIPS as a source
of endogenous portfolio hedging,» El - Erian writes.
The central bank made a concerted effort starting late last year to divorce its «
forward guidance» on interest rates, what it tells markets about the expected future path
of policy, from specific calendar dates.
Shares
of Fitbit Inc. (NYSE: FIT) were down 10.2 % as
of 2 p.m. EDT Thursday after the wearable technology specialist delivered slightly better - than - expected first - quarter 2018 results, but followed with disappointing
forward guidance.
Beyond the obvious comparisons
of earnings and revenues to expectations, traders will also focus on
forward guidance this week.