Citigroup said the sharp rise in stock trading revenue was a byproduct of increased
market volatility in equity markets.
Not exact matches
Volatility in the bond
markets transcended into
equities, knocking down the pan-European Euro Stoxx 600 Index by 0.9 percent and leading Wall Street shares to finish narrowly mixed on Friday.
Rosenberg says at a minimum, QE2's denouement will mean greater
volatility in equity markets.
Mike Gallagher, head of
markets research at Continuum Economics, discusses
volatility in the
equity market.
While not all bets have paid off — his global macro strategy suffered amid currency
volatility in 2014 — Shiff says he ends up losing less
in down
markets than pure
equity managers do.
«These homes are stores of value and they have proven over time to have a positive return without the kinds of
volatility you get
in equity markets.»
Equity markets are up so far this year, while
volatility in the U.S. bond
market is near its lowest level since late 2014.
The determination of Albertsons» majority owner, private
equity firm Cerberus Capital Management LP, to carry out the IPO despite
volatility in the stock
markets underscores its confidence that it can fetch a high valuation for Albertsons.
U.S. asset managers and custody banks could face difficulty
in lifting profit margins if the ongoing
market volatility increases the
equity risk premium.
During the quarter,
Equities operated
in an environment characterized by a significant decline
in global
equity markets and a sharp increase
in volatility levels.
It isn't just
equities: Bank of America Merrill Lynch has a Move Index that looks at expected
volatility in the U.S. Treasury
market.
All
markets will continue to focus on the
volatility in the
equity and bond
markets, geopolitical events, developments with the Trump Administration, corporate earnings, oil prices, and will turn to this afternoon's FOMC Meeting Statement followed by reports tomorrow on UK PMI, Eurozone PPI, CPI, US Challenger Job Cuts, Productivity, Unit Labor Costs, Jobless Claims, Trade Balance, Markit Services PMI, ISM Services, Durable Goods and Factory Orders for near term direction.
«This is not the first time that massive
volatility has found its way into the Chinese
equity market,» said Peter Alexander, the founder and managing director of Z - Ben Advisors, a financial consultancy based
in Shanghai.
Goldman also pointed to some technical factors producing headwinds that are normalizing, including pressure on short - term funding
markets due to repatriation of cash parked
in short - term credit, and reduced appetite for selling
equity volatility.
All
markets will continue to focus on the
volatility in the
equity and bond
markets, geopolitical events, developments with the Trump Administration, corporate earnings, oil prices, and will turn to reports tomorrow on Japanese PMI, UK PMI, US Vehicle Sales, Markit Manufacturing PMI, Construction Spending and ISM Manufacturing for near term guidance.
All
markets will continue to focus on the
volatility in the
equity and bond
markets, geopolitical events, developments with the Trump Administration, corporate earnings, oil prices, and will turn to reports tomorrow on Japan's Leading Index and Machine Tool Orders, German IFO, US Case - Shiller Home Price Index, New Home Sales, Richmond Fed and Consumer Confidence for near term guidance.
Macro: The Macro strategy's strongest contributions came from long
equity and Energy - sector positioning as low
volatility and sustained, upward trends
in these
markets continued driving returns throughout most of January.
As calm
markets pushed
volatility to record lows, some strategies increasingly accepted bets against calm
markets in order to fund
equity positions.
The asymmetric
volatility phenomenon is the observed tendency of
equity market volatility to be higher
in declining
markets...
And, as noted by Christopher Metli,
in our Institutional
Equity Division, there was an unusually high number of
volatility shorts
in the
market heading into this week, which may help to explain (some of) the large swings
in VIX.
Bottom line: The credit
markets and income strategies
in equity volatility are exposed to similar risks.
«Many participants reported that their contacts had taken the previous month's turbulence
in stride, although a few participants suggested that financial developments over the intermeeting period highlighted some downside risks associated with still - high valuations for
equities or from
market volatility more generally,» the minutes said.
Given the recent
volatility in US
equities, perhaps now is a good time to analyze the current state of the financial
markets.
Our view is that the
equity markets have low
volatility because we have been experiencing low
volatility in the things that drive
equity prices — interest rates, economic data and corporate earnings.
But, over time, the longer central banks create liquidity to suppress short - run
volatility, the more they will feed price bubbles
in equity, bond, and other asset
markets.»
The investments are subject to the
volatility of the financial
markets, including that of
equity and fixed income investments
in the U.S. and abroad, and may be subject to risks associated with investing
in high - yield, small - cap, and foreign securities.
Stock
volatility is back
in earnest today, as the risk - off shift that was already apparent
in forex
markets throughout the
equity - bounce reached the last stand for...
While global growth for 2015 is, once again, likely to come
in below estimates, the recent
volatility in China's
equity market is unlikely to exacerbate the slowdown.
Volatility in equity markets is, of course, not always a reflection of weak economic fundamentals.
The iShares Edge MSCI Min Vol Emerging
Markets ETF seeks to track the investment results of an index composed of emerging market equities that, in the aggregate, have lower volatility characteristics relative to the broader emerging equity m
Markets ETF seeks to track the investment results of an index composed of emerging
market equities that,
in the aggregate, have lower
volatility characteristics relative to the broader emerging
equity marketsmarkets.
Only
equity market investors are convinced that
volatility will remain low
in the near term.
While the VIX and other measures of
equity market volatility are flirting with historic lows,
volatility in other asset classes remains elevated relative to the summer levels.
Low
volatility is
in the headlines, with the VIX gauge of
equity market volatility sitting near its lowest levels since the early 1990s.
During the subsequent conference call, Gayner reiterated that Markel's «short - term investment results reflect normal short - term
volatility,» and are essentially
in line with changes
in both
equity markets and interest rates.
Although we can not guarantee how the fund will perform
in the future, NEARX has historically shown an ability to dodge the dramatic swings and
volatility in the
equity market, similar to the ones we experienced during the first decade of the century.
In the December quarter, however, we modestly increased the
equity allocation as short - term
market volatility afforded us opportunities to establish new positions.
Overall, implied
volatilities of foreign exchange rates have exhibited a less clear trend than those observed
in equity and fixed - interest
markets.
February's
volatility in the
equities market was a reminder of how important it is to keep money for short - term goals out of the stock
market.
In spite of the Chinese stock
market's perceived relative unimportance, the Chinese authorities have pulled out all the stops to ensure that
equity volatility does not spill over into the wider economy.
I think the secular
equity bear
market we are currently
in could continue for several more years, thus, lower
volatility dividend stocks may offer some protection while still providing
equity exposure.
These divergences
in monetary policy between the Fed and the BoE on the one hand and the ECB and BoJ on the other imply probable further
volatility in the currency, fixed income and
equity markets.
This stands
in contrast to
equity and fixed - interest
markets where implied
volatilities are close to their historical lows (see Box A).
In this box we use the implied
volatility of options [1] to contrast fixed - interest and
equity markets, where implied
volatility has declined noticeably, with foreign exchange
markets where
volatility has not fallen as sharply.
For nearly a decade, ultra-low interest rates meant the historic and natural relationship between debt accumulation and default rates broke down, generating sustained low
volatility in both credit and
equity markets.
The stock
market has taken investors on a wild ride
in recent days, but Mike Wilson, Morgan Stanley's chief investment officer and chief U.S.
equity strategist, doesn't think the sudden spike
in volatility portends the start of a bear
market.
Even with the sharp rise
in equity market volatility in early February, many
market participants are still groggy after years on maintenance medication c / o the FOMC.
While the early - 2017 Federal Reserve minutes «expressed concern [about] the low level of implied
volatility in equity markets,» it is worth noting that the SPX implied
volatility levels at both 80 % and 90 % moneyness (corresponding with out - of - the - money puts used for portfolio protection) generally were much higher than the VIX levels.
Now, as many investors worry about a global growth slowdown, rising rates and higher
volatility in U.S.
equity markets, dividend growers offer potential opportunities due to their healthy balance sheets, as well as better valuations, and lower
volatility.
Though, when you take a closer look at recent
equity performance
in May, each year there has been some
volatility in the
markets during May and the overall gains have been only marginal.
Dividend stocks are enticing to investors during periods of
volatility because
in such a
market they tend to perform well relative to more growth - oriented or higher - risk
equities.