The good news is that
new bond buyers will earn a higher rate of interest.
Not exact matches
Typically, higher interest rates make existing
bonds less attractive to
buyers, since they can get
new notes at loftier yields.
When rates rise,
bonds drop in value because fixed income
buyers prefer investing in
new bonds with higher yields.
Western allies press Trump to maintain nuclear deal with Iran: Reuters US intelligence monitors Iranian cargo shipments into Syria: CNN A trade war is a major risk for China's debt - ridden economy: CNBC Federal judge orders gov» t must accept
new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Mo
new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB
New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Mo
New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016:
Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp
bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Money
Exxon this week hit back against the California lawsuits in a filing with a Texas state court pointing out none of the cities disclosed such risks to
bond buyers and arguing the lawsuits were politically motivated and linked to cases brought by the states of
New York and Massachusetts.
Municipal
bond sales next week from
New York City, the state of Oregon and a California healthcare provider worth nearly $ 1.7 billion include warnings to potential
buyers that Trump's policies could pose a financial risk to these issuers.
- March 14, 2014: As Orange County sees dip in
bond rating,
new County Executive Steve Neuhaus and legislative members propose
new plan for selling Valley View to private
buyer.
That is pretty much what is happening today, as the Bank of Japan is the
buyer of substantially all
new bonds being issued by the Japanese treasury.
Usually on a fixed - coupon
bond (e.g. Government
bond) the interest rate is fixed for a given period (say 10 years), and if market rates rise the face value of the
bond falls, to compensate for the lower return a
new buyer would get, compared to the market interest rate.
But, unlike a single
bond where the
buyer can hold to maturity, i.e. the duration drops about one tear for each year of real time passing, a fund of treasuries will never mature, the duration will remain somewhat constant as
new treasuries are purchased when others mature or
new money comes in.
She has worked at Yahoo Finance, Bloomberg TV, CNBC, Reuters, Investor's Business Daily and The
Bond Buyer and has written articles for The
New York Times, TheStreet.com, The Star - Ledger, The Record, Variety and Worth magazine.
The
Bond Buyer publishes news stories, new - issuer calendars, results of bond sales, notices of redemptions and other items of interest to the mar
Bond Buyer publishes news stories,
new - issuer calendars, results of
bond sales, notices of redemptions and other items of interest to the mar
bond sales, notices of redemptions and other items of interest to the market.
1, 8) CNBC, February 28, 2018 2) Bloomberg, 2018 (Bloomberg Barclays U.S. Municipal Index for the period 1/1/2018 to 4/16/2018) 3 — 4, 6) The
Bond Buyer, February 12, 2018 5) The
New York Times, February 23, 2018 7) Moody's Investors Service, 2017 9) CNBC, October 10, 2017
The result of all of these
new stock investors (i.e. the former
bond investors) jumping into the stock market is that the price of many dividend - paying stocks has climbed higher, as there are more and more
buyers for these large, liquid, relatively stable companies.
Since the market is shifting toward connecting with
buyers and sellers from the same generation, these
new agents can form close connections and
bond with those in their age group.