Sentences with phrase «lowest yielding markets»

And I'm stunned to note the US (neck & neck with Japan) is one of the lowest yielding markets in the world.

Not exact matches

LONDON, April 23 - Hamstrung by a renewed slump in volatility and lack of clear market direction, FX and bond speculators are making historically big bets on a lower dollar and higher yields.
For one thing, those 10 - year Canada bonds are yielding just 1.14 % and could lose value should interest rates rebound from their recent lows, as many market - watchers expect.
In a client note on Thursday titled «Yanking down the yields,» the interest - rates strategist projected that bond yields would be much lower than the markets expected because central banks including the Federal Reserve were reluctant to raise interest rates.
In the short - term, however, this increased leverage may actually be bullish for junk bonds, corporate bonds, emerging market debt and mortgage - backed securities as it brings higher prices and lower yields, he said.
With the Fed actively buying securities on the open market, the additional demand means bond issuers can promise lower yields and still attract investment.
Liew said that with the wide variations in credit quality across emerging markets, from non-investment grade countries such as Argentina and Venezuela, to single - A rated ones, such as Malaysia, GIC was looking for «idiosyncratic situations,» in emerging markets which were likely to converge with lower - yielding developed markets.
GIC Chief Investment Officer for fixed income Liew Tzu Mi said on Thursday that the Singapore wealth fund was targeting fixed income investments with selective emerging markets which were likely to converge with lower - yielding developed markets.
That might lower the amount of debt entering the high yield market.
While these companies are unsurprisingly out of favour with many investors — a lot simply won't buy these companies on moral grounds — they think the sector's high yields, low correlation with market cycles and steady earnings will make investors give them another look, and then stock prices will appreciate.
More from Financial Times: Deepening US political controversy stalks markets Lower Treasury yields knock Wall Street financials Microsoft held back free patch that could have slowed WannaCry
Cramer saw one narrative dominate Monday's tape: that 10 - year Treasury yields approaching 3 percent would send the stock market lower.
While overall low inventory has led to competition in some markets — about a quarter of 2017 home sales yielded sales prices higher than the asking price, according to Zillow — it's a different story for some sellers.
Meanwhile government bond yields, a reliable barometer of market fear, are falling to record low levels as investors engage in a panicked hunt for risk - free assets.
Investors were watching the report closely after fears of surging inflation helped send the stock market lower and bond yields higher.
Also, Ablin added a large portion of the recent rally involved a rotation from bonds into stocks as low interest rates forced investors to seek yield in the stock market.
But he warned that could be changing: «There's a very low hurdle for that surprise because bond market yields are so low in the front end of the curve.
On average, private business loans from relatives and friends have interest rates 2 to 3 percent lower than market rates and 1 to 2 percent higher than high - yield savings rates.
Although it is fair to say that the recent uptick in volatility has in part reduced earlier concerns about prolonged low volatility and associated reach - for - yield behavior, it has placed added focus on the resilience of liquidity, particularly in markets, such as the market for corporate bonds, that may be prone to gapping between liquidity demand and supply in stressed conditions.
More from The New York Times: For Bond Investors, Low Expectations in a Low - Yield World Emerging Market Bonds Are on a Roll.
Yields in the $ 14 trillion market for U.S. government debt touched record lows in 2016, driven by years of aggressive central bank intervention in the wake of the 2008 - 2009 financial crisis to keep interest rates low to stimulate the economy.
Brian Belski, BMO Capital Markets» chief investment strategist, says bonds are still the main place for investors to stash money, even with today's low yields.
In fact, credit spreads in many markets are trading at the lowest levels as a percentage of their overall yield in a decade (see chart below).
Recent moves in the bond markets have unsettled investors used to low yields.
the percentage of return an investor receives based on the amount invested or on the current market value of holdings; it is expressed as an annual percentage rate; yield stated is the yield to worst — the yield if the worst possible bond repayment takes place, reflecting the lower of the yield to maturity or the yield to call based on the previous close
Weigh your options: High - yield savings with rates that beat money market accounts mean you'll come out ahead in the long run, and the best savings accounts have low to no minimum deposits.
Its underlying index selects and weights its bonds by market value, and this method yields a portfolio that aligns well with our benchmark in terms of credit tranches and maturity buckets, with the only notable difference being a slightly lower YTM.
The 35 year bull market in bonds most likely ended on July 8, 2016 when the 10 year maturity U.S. Treasury Note yield hit an all - time low of 1.36 %.
Global bonds are vulnerable due to low current yields, depressed term premia1 and the desire of developed - market central banks to unwind unconventional policies.
By doing this, central banks hope to condition market expectations, lowering interest rates further out the yield curve (much like additional cuts to short - term interest rates would have done, had they been possible).
The Treasury market often becomes a safe haven from falling stocks, and that pushes yields lower.
The potential counter weights that could cap the 10 - year yield would be a negative stock market reaction that drives investors to bonds; lower interest rates outside the U.S. that make the U.S. debt relatively more attractive, and good demand for longer - dated securities from insurers and others.
Emerging - market companies have piled on debt in recent years, allured by low interest rates from yield - starved investors.
To the extent that lower Treasury yields are even weakly associated with higher equity valuations, recognize that this effect is also expressed over time as lower subsequent stock market returns.
With market volatility hitting multi-decade lows, junk bond yields also at record lows, the median price / revenue ratio of S&P 500 constituents at a record high well - beyond 2000 levels, and the most strenuously overvalued, overbought, overbullish syndromes we define, I'm increasingly concerned about the potential for an abrupt «air pocket» in the prices of risky assets that could attend even a modest upward shift in risk premiums.
Although the bond market is also volatile, lower - quality debt securities, including leveraged loans, generally offer higher yields compared with investment - grade securities, but also involve greater risk of default or price changes.
In effect, we have a market with extraordinarily low yields in a market environment where yields are being pressured upward.
Valuations on high - yielding stocks may have become overstretched in the historically low - yield environment, potentially making them vulnerable if the markets experience a mean reversion shift.
For example, while high yield spreads are considerably lower than they were at the January market bottom, they are approximately 200 basis points (2 percent) wider than they were two years ago, as Bloomberg data shows.
The markets» low - yield environment hit the bank with tighter credit spreads, which were reflected in a $ 567 million pretax debit valuation adjustment loss.
«We are hoping «mom and pop» can do a little bit better than the bond market at a time of historically low yields
Finally, the Fed's easy - money policies have pushed investors into the stock market because bond yields are so low.
-LSB-...] than lament the low yields, why not look for undervalued bonds during a market correction?
This was a function of the low level of market yields, as well as the low level of volatility and yield movements.
The quality portfolio may have higher risk - adjusted returns than the broad market, but it will also likely have lower overall returns due to the lower yield.
The world has changed, and that has unsettled bond markets used to low yields / rising prices throughout the post-recession expansion.
Oil prices have fallen more than 15 percent since March 4 to a six - year low of $ 42.3, wiping out $ 7 billion of market value of high - yield debt issued by energy companies.
The Barron's article pointed this out as well, citing London - based «G+E conomics» head Lena Komileva: «A surplus of investment funds looking for returns in low - yield global markets results in a cap on longer - term yields and a flat yield curve.»
They are searching for yield but interest rates from fixed income products have generally been low, and there is fear that equity markets could be nearing a period of intensified volatility.
However, these higher yielding bonds are often the most risky, resulting in a lower risk - adjusted return than the broad market.
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