Sentences with phrase «increased bond buying»

This increased bond buying activity will place a floor on bond prices and keep them stable.

Expectations have grown that ECB policymakers may take another small step in exiting the bank's ultra-easy monetary policy after dropping a long - standing pledge to increase bond buying if needed at its meeting in March.

Not exact matches

One of the goals of «quantitative easing,» the Fed's program of buying Treasuries to increase monetary supply and reduce the value of bonds, was to bolster other assets relative to bonds.

World stocks rose 20 percent last year, significantly outpacing the average on bond markets, meaning the relative value of funds» equity holdings has increased without a single new share being bought.

«I think the pressure [to increase interest rates] will be there, because the Fed in the U.S. should stop printing money, and taper off as they say,» Mr. Flaherty, referring to the dialling back of U.S. bond - buying, told CTV in an interview aired Sunday.

Buying corporate along with government bonds will increase your yield.

If Yellen's Fed fails to convince Wall Street about the policy path, a rate increase could trigger financial turmoil of the sort seen in 2013, when investors were caught off guard by the central bank signaling an end to its bond - buying program.

Some investors are now making calls that the euro zone's central bank could end its massive bond - buying program by the end of next year, with a potential rate increase in the fourth quarter.

Volcker, capital requirements, etc., drive up the cost of immediacy, but they don't increase the risk of a crash, because bond dealers were never in the business of buying all the bonds all the way down.

In addition, some investors successfully build the value of their long - term portfolios buying and selling bonds to take advantage of increases in market value that may result from investor demand.

Rising housing prices raise the cost of living, while rising stock and bond prices increase the cost of buying a retirement income — leaving pension funds unable to make good on their promises.

When spreads are increasing, it is usually a sign of a selloff in risky bonds and buying of Treasuries.

Prosecutors claimed Demos lied to his customers about the prices at which his company could buy or sell mortgage bonds, boosting the profit his firm earned on a trade and therefore increasing his own bonus.

But the real emergency affects mainly debtors — mortgage debtors with negative equity, companies loaded down with junk bonds (many of them taken to buy back corporate stock and increase dividend payouts to increase the price at which managers can cash out).

Liquidity risk High yield bonds that may have been easy to buy or sell when market conditions were calm can suddenly become very difficult to sell when volatility increases.

The ability of the central bank to buy a bond directly from the govt would avoid any contractionary effects while the new money used to pay claims clearly increases the money supply which may help during downturns (when this helicoptering mechanism should be considered for use to some degree).

We've all been there: Reading positive headlines about a company and wondering if you should buy their stock; seeing interest rate predictions and wondering if your bond portfolio is ready for the inevitable increase.

We believe that investors who are trying to reduce risk by selling stocks and buying bonds are probably increasing their risk of losing money.

Central bank bond - buying measures in most of the world have helped to increase liquidity, support asset prices, and smooth volatility.

The anticipation is that the FOMC will start reducing the $ 4.5 trillion balance sheet containing bonds the Fed has bought to stimulate the economy, then possibly do one more rate increase before the year ends.

I could ride out a crash for 3 - 4 years and live off the cash but what worries me is the market crashing and not recovering for 10 years, once in the new sipp, when i rebuy, i could rebalance but id have to buy a bond etf [vanguard] so could increase safe asset class.

The BOE did announce that it was «halting» the expansion of the QE program at 375 billion pounds as it deems the recent increases in its bond buying program to be less effective.

And that dire prediction came before many of the big banks had started incrementally increasing rates on their fixed - term mortgages in the wake of market reaction to U.S. Federal Reserve Chairman Ben Bernanke's recent warning that $ 85 billion (U.S.) in monthly bond buying may be coming to an end this year.

So if interest rates stay substantially low with few prospects for increase it's likely the issuer will call or buy back the bond before maturity.

But as the Fed printed ever more money to buy bonds, they created increasing amounts of liquidity that ultimately spilled over into global financial markets beyond US equities and real estate.

This increases the chances that the ECB will keep buying government bonds on a huge scale beyond December 2017 and it increases the likelihood that the ECB will keep its policy rate at their current well beyond 2018.»

«The surprise decision by the Fed to continue buying bonds has maintained the increased liquidity in the market, helping to support the euro, as well as weakening the dollar,» Hood says.

The increase in return results from buying the bond below its stated face value.

Goldman Sachs Group Inc. would have the smallest percentage increase, about 16 percent... Of the changes proposed in June by Treasury Secretary Steven Mnuchin, the one that would probably have biggest impact on profit is allowing banks to buy U.S. government bonds entirely with borrowed money.

The Winfield Park District is seeking permission to issue $ 950,000 in bonds to buy park land, and the Elmhurst Park District is seeking to increase by 20 cents its tax rate of 50.6 cents.

Responding to concerns over the loss of open space, the Park District bought the property, funded by a tax increase in 2000 and an $ 11.5 million bond sale in 2002.

You said, referring to the earlier votes, that, «The Cary district put two referendum questions to the voters in November — an $ 8.1 million bond issue to buy 80 acres of land and build a swim center and ballfields, and a tax - rate increase to operate the facilities.»

Central banks control interest rates like a puppet on a string by raising interest rates or buying up bonds to increase the value of their currency, or lowering interest rates and selling bonds to decrease it.

Also, when you buy a CD through a broker, the only way to get your money out early is to sell the CD, and since the value of a brokered CD responds to interest rate changes like a bond, the value of a brokered CD could decline significantly if interest rates were to increase.

Bond Swap: Selling municipal bonds (usually at a loss) and using the proceeds to buy other municipal bonds, to establish a loss for tax purposes, to diversify a portfolio, to increase cash flow, or increase yield.

A rule change could increase the percentage of any single bond the ECB can buy, broaden the composition of sovereign bonds bought, expand the universe of eligible corporate bonds or even expand the program to include stock purchases — a radical move we see as unlikely at this stage.

Our only hope is to wait the multiple years until maturity or keep buying to lessen the increasing yield impact to original bond price paid when interest rates were lower.

When spreads are increasing, it is usually a sign of a selloff in risky bonds and buying of Treasuries.

At the point when a new passive investor entered the market (or an existing passive investor increased their allocation), he or she bought high yield energy bonds in the same proportion as the active investors, and maintained their allocations similarly.

Broker - dealers who hold bonds in inventory increase or «mark up» the price when a customer buys a bond from them, and reduce or «mark down» the price when a customer sells a bond back to them.

As it implies, laddering refers to buying various increasing maturities of equivalent - value certificates of deposit (CDs) or investment grade corporate bonds.

Investors buy bonds to 1) earn interest, and 2) possibly reap a capital gain by selling the bond if its value increases (more on this below).

But as the Fed printed ever more money to buy bonds, they created increasing amounts of liquidity that ultimately spilled over into global financial markets beyond US equities and real estate.

By selling the first bond and buying the second bond you will have increased your annual income by 25 basis points ($ 125).

I expect that we'll be inclined to increase our exposure in long - term bonds on any substantial price weakness and upward yield pressure, but that inclination will be gradual and proportionate - I don't think it's useful to think of any particular level on say the 10 - year or the 30 - year Treasury as a «buy.»

Two examples of this include calling in debts that are owed to the government and increasing the interest paid on bonds so that more investors will buy them.

Stocks have done so much to increase your net worth, why would you want to sell those to buy low - yielding bonds?

The annual purchase limit for buying I Bonds in electronic form from TreasuryDirect has been increased from $ 5,000 to $ 10,000 per person or entity.

When you provide money to others, by investing in bonds or buying stocks, you receive a return in proportion to what you have put in (assuming, in the case of many investments, that the value has increased).

One might increase returns by boosting one's allocation to stocks, by buying riskier bonds, risking an active strategy, or some combination of the above.