Sentences with phrase «in bond yields»

The rise in bond yields over the past few of weeks typically stimulates an increase in mortgage rates.

If you own individual bonds, it's a good idea to stay on top of changes in bond yield just in case.

Key risks include increasing trade tensions and a renewed spike in bond yields.

Increase in bond yields in the current quarter of the financial year 2017 - 18 resulted in losses in the company's long - term maturity investments, it said in the filings.

Even so, this rate remains 1.9 percentage points under the previous cyclical low early in 1994, reflecting the trend decline in bond yields over recent years.

The drop in bond yield (higher bond price) today triggered the drop.

An obvious culprit for the move in bond yields is the country's record fiscal deficit, which will generate a massive amount of new government issuance.

While picking the precise bottom is challenging, it is increasingly likely that the long term decline in bond yields is drawing to a close.

Again, this could amount to simply a shaking out of extreme bearish sentiment before another leg higher in bond yields.

A renewed surge in bond yields is another risk, but we believe equities can do well as long as yield rises are steady and driven by improving growth.

Two by - products of the economy's strength also support the idea that we may be close to a bottom in bond yields.

If our economic recovery is still far from now, then it would put more burden on our fiscal deficit, which would result in bond yields going up & bond prices going down.

Any sharp drop or jump in the bond yield influences the fixed mortgage rates almost instantly.

The early weeks of 2018 were full of twists for financial markets, with a rapid rise in bond yields leading to a short, sharp sell - off in equities.

These swings in bond yields were for the most part driven by domestic news rather than international events.

With correlations having become positive, the rise in bond yields likely will lead to a decline in stocks.

Generally lenders are slower to respond towards a downward movement in bond yield.

At that point we might see a sudden upward adjustment in bond yields.

-- Finally, we should consider rates... a subject of intense focus in the last week or two, with the recent reversal in bond yields.

For me, it meant owning about 25 percent of the portfolio in bonds yielding less than 1.5 percent and paying 3.5 percent on the mortgage.

While there is no ceiling in stocks, there is clearly a floor in bond yields, and objectively and historically speaking, we are still very close to that floor.

Yet we see little fallout on currencies for now due to the likely muted change in bond yields.

Portfolio insurance should focus on the risk of a sharp rise in bond yields that results in a decline in the valuation of broad assets.

This makes sense; lower growth should result in bond yields falling, anticipating lower Bank of Canada rates in the future and less need for a risk premium around inflation.

She observed that inventory market valuations are «quite high» today and warned of the threat of a «sharp jump» in bond yields as and when the Federal Reserve commences to elevate limited - term rates this year.

The structural slowdown in global economic growth and dramatic drop in bond yields represent a paradigm shift that is forcing a rethink of portfolio allocations.

We also mentioned that the initial spike in bond yields after President Trump was elected seemed unlikely to continue this year.

The pull back in bond yields, at least for the moment, quelled fears about inflation.

Spillover effects on other countries, as reflected in bond yields, were more limited than in previous episodes of turmoil, reflecting the relatively small scale of Cyprus's problem, according to the Institute of International Finance (IIF) in Washington.

Strengthening reflation also reinforces our view that we have seen the bottom in bond yields globally after a multi-decade slide.

Powell's comment was pointed to by bond market strategists as a reason for a sudden pop in bond yields.

«That we're at a point that we can start to sustain some rises in bond yields speaks to confidence in the economy.

«Given the importance of bond yields to equity valuation, equity investors are affected by potential changes in bond yields just as much as fixed - income investors,» said Colin Moore, Global Chief Investment Officer at Boston - based Columbia Threadneedle Investments.

We at DT Investment Partners are not forecasting a significant rise in bond yields within the next 2 years due to the following reasons:

Top 5 things that rocked U.S. markets this week — a surge in bond yields sparked investor concerns, crude oil prices snap 2 - week winning streak, dollar extends rally, gold prices struggle, and Bitcoin update

This led to quite a sharp narrowing in the spread in bond yields between the two countries, from around 130 basis points at the time of the previous Statement to a low of 85 basis points in early December.

Thus, rising rates / yields are occurring for the «right» reason — because growth is exceeding the expectations imputed in bond yields.

The jump in bond yields last week provided a small opportunity to increase the duration of the Strategic Total Return Fund, which is now at about 2.4 years - still low, but nibbling slightly on bond price weakness.

Continue reading «Is The Spike In Bond Yields Trump's Fault?»

Now, there have been a lot of twitches in bond yields over the past few years, up and down.

«For the next 12 months, these levels [in bond yields] will hold; the damage for the near term has been done.»

But nor does the BOJ want spark a destabilising spike in bond yields by suggesting it will soon start to «taper» bond - buying.

The long bull market in bond prices and the long downtrend in bond yields... is basically over.

This will also dampen your portfolio's volatility in the long term, without the shrivelling in its potential that you'd get if you invest significantly in bonds yielding little more than 4 %.

Among the factors arguing that we are at a turn in bond yields are the economy's current strength and momentum and the Fed's decision to shrink its balance sheet and move away from quantitative easing as they raise the Fed funds rate.

A phrase used to describe differences in bond yields, with one basis point representing one - hundredth of a percentage point.

You will probably see a continuing creep upwards in bond yields, perhaps reaching 4 % on 10 - year Treasuries by early June.

We're not terribly concerned about a general advance in bond yields here, but even in the event of a secular increase in yields over time, it would seem unlikely to be an uncorrected diagonal move.