Sentences with phrase «higher bond rates»

That action led many investors to believe the Fed would follow with more fed - funds hikes that would ultimately lead to higher bond rates as well.

It's certainly possible that increased competition from higher bond rates will cause weakness in the equity market.

Eight years after facing a financial deficit that required issuing bonds totaling $ 22 million to balance its budget, East Hampton Town has achieved Moody's Investors Service's highest bond rating

County Executive Molinaro said, «Over the past four years, we've worked together to move Dutchess County forward, overcoming serious fiscal hurdles to cement our financial standing, which has resulted in the second - highest bond rating of any county in New York.

The state is now one notch below the highest bond rating.

The Control Board has a much higher bond rating and has been able to borrow at a lower rate every year.

Public charter schools then have access to bonds with the full faith and credit of the State of Texas, which gives them the highest bond rating available (AAA).

Municipal bonds, much like government treasuries, are normally considered the safest type of investment and often have the highest bond rating.

In general, the higher the bond rating, the more favorable the terms will be for the bond issuer.

The higher the bond rating, the lower the risk of default.

Not exact matches

LONDON, May 1 (Reuters)- The dollar broke into positive territory for the year and bond yields were creeping higher again on Tuesday, as the recent rise in oil prices fuelled bets that the U.S. Federal Reserve will flag more interest rate hikes this week.

Fill the bulk of your portfolio with a combination of high - rated bonds (weighted toward corporate, rather than government, debt) and high - quality, dividend - paying equities, and you likely won't take a hit.

If interest rates rise and push that risk - free rate of return higher, then those dividend stocks and high - yield bonds are vulnerable.

NEW YORK, May 1 - The dollar broke into positive territory for the year and U.S. bond yields inched higher again on Tuesday as the recent rise in oil prices fueled expectations the Federal Reserve could flag more interest rate hikes at its policy meeting this week.

That relationship has played out this year — as interest rates have risen since January, the HYG high yield corporate bond ETF has come under pressure.

Bond prices were higher, stocks waffled and the dollar flip - flopped after the Fed's post-meeting statement failed to deliver the clarity markets were looking for on the course of rate hikes.

(Bond yields move inversely with bond prices, and rising yields tend to signal expectations of higher growth and inflation ahead and, therefore, higher interest ratBond yields move inversely with bond prices, and rising yields tend to signal expectations of higher growth and inflation ahead and, therefore, higher interest ratbond prices, and rising yields tend to signal expectations of higher growth and inflation ahead and, therefore, higher interest rates.)

Typically, higher interest rates make existing bonds less attractive to buyers, since they can get new notes at loftier yields.

Also, as bond rates rise, some of the money that migrated over from the bond market in search of higher yields will return to the safety of fixed income.

While investors will have to find stocks with higher yields, pay more for them and take on more risk in bonds, the biggest change in a permanently low - rate world is that people will need to set aside more of every paycheque if they want to keep the same goal for retirement income.

The reason average Americans should care about the «taper» is that higher interest rates on bonds also means higher interest rates on things like mortgages.

Specifically, there are concerns about what might happen should the tide turn in the bond markets when 30 years of falling interest rates reverses at a time when the Federal Reserve is preparing to tighten monetary policy by forcing rates higher.

Among individual banking stocks, Bankia, Credit Agricole, ING and Banco Santander are «buy» - rated names, according to Deutsche Bank, as they all have a high positive correlation to U.S. bond yields.

The Fed's low interest rate policy has driven more and more money into bond funds as investors search for higher yields.

Bond yields rose to the highs of the day as Federal Reserve Chair Jerome Powell laid out a case where the Fed could raise rates more than it has forecast.

Since those investors are just looking for the highest returns, and not say buying bonds their financial advisor told them they needed bonds as part of their retirement planning, they are more likely to jump when rates rise.

However, if rates are about to head higher for an extended period of time, investors may want to consider shortening up the maturities in their bond portfolios.

Back then, bond yields were much, much higher, as were savings rates.

LONDON, May 3 - At a time when the impending withdrawal of European Central Bank stimulus was expected to hurt southern European bond markets, so - called «peripheral» euro zone debt continues to outperform its higher - rated peers.

At some point, investors who are conflating high - yielding consumer staples stocks with bonds or who are taking interest rate risk in long - dated Treasurys will see drawdowns as well.

However, rates have retreated from over 8 percent in the last several weeks, and the credit risk of high - yield bonds can offer some diversification from the interest - rate risk of a portfolio of Treasury bonds.

Beyond the requirements that liquidity and regulators impose on us, we will purchase currency - related securities only if they offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk - bond debacles, or because rates rise to a level that offers the possibility of realizing substantial capital gains on high - grade bonds when rates fall.

Meanwhile, the survey summary attributed the low showing for bonds to a «wide agreement among advisors that interest - rate risk is exceptionally high right now.»

So, putting the two together, we want to own short - term high - coupon bonds when rates are rising, and low - coupon long - term bonds when rates are trending down.

She might equally assume the five - year bond is less volatile because it has the higher coupon rate.

Exchange - traded funds that track high - yield bond indexes have been the beneficiaries of a cash surge in recent weeks as market participants figure the central bank probably won't raise rates in 2015, and it could be well into 2016 before anything happens.

We also already know that the higher a bond's coupon rate, the less its price will be affected by interest rate swings.

In a presentation earlier in September, Gundlach said that interest rates around the world had bottomed and he expected both rates and bond yields to move higher.

China may witness its first local government bond defaults, although the timing was uncertain, Fitch Ratings said in a press release issued on Sunday, amid persistent concerns over high debt levels in the world second largest economy.

But it also launched two new schemes, one to buy 10 billion pounds of high - grade corporate bonds and another — potentially worth up to 100 billion pounds — to ensure banks keep lending even after the cut in interest rates.

S&P gave the AMNH's recent bond issuance a very high AAA rating, indicating the museum's «pre-eminence» as one of the world's top natural history museums.

«According to the higher interest rates and bond yields projected by consensus, the market has started to wonder when the BOE would start raising rates again.

Ms. Jones suggests sticking with floating - rate funds that invest in high - quality bonds, such as the iShares Floating Rate Bond E.Trate funds that invest in high - quality bonds, such as the iShares Floating Rate Bond E.TRate Bond E.T.F..

And with the Federal Reserve pushing its target interest rate higher, bond prices are likely to suffer.

Bond yields snapped higher, adding to their already steep gains, and federal funds derivatives showed market expectations are moving closer to pricing in a full three interest rate hikes by December.

Funds that own high - quality bonds with shorter durations, such as Fidelity Short - Term Bond, can help reduce your portfolio's sensitivity to rising rates.

While U.S. savings bonds have lost popularity as a means of long - term savings due to the low interest rates they currently earn, some retirees have been holding on to bonds that were issued when rates were higher.

The two signals flashing red are volatility shocks, and spreads on the highest rated corporate bonds.

I sent out to some people last Wednesday why I thought the CDS market would outperform ETF's, and that is still my view, and has a lot to do with the bonds that make up the high yield index and their rate risk exposure for some, and horrible convexity for others.

Tactical cash is extra cash you intentionally hold from time to time either because cash rates are so high that they're attractive, or because the prospects for bonds and equities are so negative that you'd rather withhold capital from those two asset classes for the time being.