Sentences with phrase «many asset prices»

The minutes of the Fed's June meeting noted that «some participants suggested that increased risk tolerance among investors might be contributing to elevated asset prices more broadly; a few participants expressed concern that subdued market volatility, coupled with a low equity premium, could lead to a build - up of risks to financial stability.»

At the very least, it might be prudent for the BoC to separately take into account asset prices when it sets monetary policies (as I've argued in past columns stretching back to 2007).

Before the financial crisis, most every economy was doing well, albeit on a bubble of debt and inflated asset prices.

The latest change in tone may also reflect an additional concern - that low interest rates are fostering financial instability by promoting bubbles in asset prices and stimulating excessive credit creation.

Then there's China, which Druckenmiller cites as a major issue for asset prices.

Three years ago Druckenmiller was negative about U.S. and Chinese actions, yet he still felt asset prices could be driven higher.

Here are some examples of how this concept can be used by investment analysts to anticipate the likely movements in exchange rates and asset prices.

The price gap behind the rise of cross-border airfare shopping, according to Tae Oum, a professor at the University of B.C., stems from Canada's higher fuel prices, wages, asset prices, landing and terminal fees and air traffic control charges.

«The precise parameters of the U.K.'s future relationship with the European Union remained highly uncertain and it seemed likely that asset prices would remain sensitive to perceived developments in the outlook in the months ahead,» the Bank of England said through the minutes of the policy committee's meeting.

Japan suffered an asset price bubble at the end of the 1980s and experienced a period that is referred to as «the lost two decades».

Normally, the large U.S. current account deficit should have triggered rising U.S. interest rates — i.e., falling dollar asset prices.

In the grander scheme of things, and as a red flag, this is another asset class that has enormously benefited from asset price inflation, stirred up by the Fed's well - targeted monetary policies since the Financial Crisis.

Later, in a response to a question on why the Canadian dollar remains buoyant despite so many negatives, the governor said Canadian asset prices tend to track what's happening in the U.S. because, historically, when the American economy grows, the Canadian economy grows with it.

Large shocks to the system tend to have a resetting effect, throwing hitherto rock - solid asset price correlations in disarray and reversing long - running trends.»

In the former, the idea is to make as much money as possible from rising asset prices (or, if you like, falling asset prices for the shorters out there).

Earnings would also wax a lot faster because all asset prices would drop reflecting the rise in the cost of capital, making new investments cheaper and more profitable.

«What we look at is, if stock prices or asset prices more generally were to fall, what would that mean for the economy as a whole?»

The more people selling against fewer people buying since fewer are employed, means a drop in asset prices.

The richest Americans hold a historic amount of the nation's wealth, thanks largely to gains in the stock market and asset prices.

The SAFE said that of the 2015 drop in foreign exchange reserves, $ 342.3 billion was due to trade and investment transactions while $ 170.3 billion was caused by currency and asset price changes.

Monetary neutrality means real asset prices are not boosted indefinitely by such policies; their economic effects must ultimately unwind.

So they front - loaded consumption and a jump in asset prices - the «wealth effect.»

The central bank noted in its statement that «financial vulnerabilities in the household sector continue to edge higher,» which is the Governing Council's way of saying that ultra-low borrowing costs continue to put upward pressure on asset prices and personal debt.

Slower economic growth has been partially masked by rising asset prices and the wealth effect.

«Asset prices, including property, are at nose - bleed valuations because of his central bank money printing,» Edwards writes.

A stronger dollar tends to pressure assets priced in the U.S. currency.

But America is growing, home prices are up, asset prices are up, the GDP is growing 2 percent plus.

«Inflation and rapidly rising asset prices are two different things.

JPMorgan, for instance, wants to research how quantum computing can improve tasks like risk analysis and asset pricing, Gil said.

The debt that private - equity funds use can make the overall value of a portfolio fall dramatically when asset prices quiver.

«The 2017 stress test shows the UK banking system is resilient to deep simultaneous recessions in the UK and global economies, large falls in asset prices and a separate stress of misconduct costs,» the BoE said.

«Rising asset prices are not inflation.

Granted, Canada enjoyed falling unemployment, recovering asset prices and a resilient banking system.

Dollar weakness, which continued into early January after its biggest annual drop since 2003, had helped to lift assets priced in the U.S. currency, with gold last week registering a fourth straight weekly gain for the first time since April.

Frothy asset prices As the WGC points out, not only did asset prices hit multi-year highs around the world in 2017, but the S&P is still sitting at an all - time high.

Valuations of risky assets are still stretched, and liquidity mismatches, leverage, and other factors could amplify asset price moves and their impact on the financial system.

A sharp permanent drop in asset prices is scary.

A continued search for yield has «fueled rampant asset price growth elsewhere,» the report explains.

A sharp temporary drop in asset prices is kind of funny, honestly.

As the global economy deteriorated in 2008, the collapse in virtually all asset prices led to the unwinding of the yen carry trade, leading to it surging as much as 29 percent against the yen in 2008, and 19 percent versus the US dollar by February 2009.

When the two intersect, we try to figure out the impact that government policy might have on asset prices.

On the way up, increasing asset prices created a «wealth effect» — those lucky enough to see the value of their home go up so much were more inclined the spend money, thereby stimulating the real economy.

Their price movements are uncorrelated to the movements of other asset prices, such as shares and property.

Debt leveraging inflates property prices, creating (6) hopes for capital gains, prompting buyers to take on even more debt in the speculative hope that rising asset prices will more than cover the added interest, which is paid out of capital gains, not out of current income.

After all, when a central bank influences the cost of financing through changes in the policy interest rate, its actions affect the economy by changing asset prices, encouraging or discouraging risk taking, and influencing credit flows.

9An example of a sustained rise in asset prices that was not a bubble is the bull market in U.S. equities that began in the 1950s.

The notion is that by pursuing a slightly tighter monetary policy, the central bank would take out insurance against the risk that the rise in asset prices is a bubble and that its busting would be disruptive.

The way you're thinking about asset prices is wrong.

A second example is one in which the economy is in recession, or operating below potential, and the financial system is going through a phase of deleveraging and low asset prices (Chart 1, see «Case 2»).

The financial sector wins at the point where you don't see that the prices that the banks are inflating are asset prices — real estate prices, bond and stock prices — and that the role of commercial banks is to increase the power of wealth over the rest of society, over labour, over industry, to create a new ruling - class of bankers that are even more heavy than the landlords that were criticised in the last part of the 19th century.