Sentences with phrase «of bonds bought»

The broker confirms the number of units traded, which may be shares of stock or the par amount of bonds bought or sold, along with the security's symbol.
Bernanke noted that when the Fed launched its first round of bond buying in late 2008, the average rate on a 30 - year fixed - rate mortgage was a little above 6 percent.
The Fed's latest round of bond buying and its plan to keep rates super-low into 2015 will likely provide only modest help, said David Jones, chief economist at DMJ Advisors.
In a note to clients, BAML's Savita Subramanian writes that a fourth round of bond buying (called quantitative easing, or QE) by the Federal Reserve is actually the biggest threat to stocks:
Critics of the bond buying programs, known as quantitative easing or QE, warned that it would lead to runaway inflation.
Particularly during the period of extraordinary policy accommodation — low interest rates and $ 3.7 trillion of bond buying — the Fed sometimes has struggled to communicate its intentions.
His latest tweet Monday night weighed in on the recent announcement from the Federal Reserve that it would initiate another round of bond buying to help stimulate economic growth.
Tapering is a word that came into the economic dictionary in May 2013, when Bernanke told Congress that the Fed may «taper» (reduce) the size of the bond buying program that it was pursuing to stimulate the economy.
For four years now inflation has stayed resolutely below that target even as the Fed deployed an unprecedented program of bond buying and low interest rates in an effort to push prices up.
My former boss would do almost all of his bond buying on new deals, and almost never in the secondary market, because he knew that new deals almost always came cheap.
Buy individual securities By buying individual TIPS, you not only eliminate the expense of the fund, but you can also control the maturity of the bonds you buy.

Not exact matches

The threat of a trade war would also freak out the overseas investors we count on to buy our government bonds, and keep our interest rates at super-low levels.
Under this hypothetical policy, governments transfer money directly to taxpayers to encourage spending, a handout funded by issuing bonds with a coupon of zero and no maturity date, which central banks buy.
The European Central Bank on December 3 dropped one of its main policy rates to negative 0.3 % from negative 0.2 % and said it would extend its bond - buying program, under which it creates euros to purchase debt, to at least March 2017.
Put 20 % or 30 % of your money into GICs or government bonds to fund your immediate needs, like paying a mortgage and buying food.
That could mean that the Fed is moving closer to reducing its program of buying US$ 85 billion of bonds every month, but the statement gave no indication of when that might happen.
Much of the shift lower in our yield forecasts derives from the view that the ECB [European Central Bank] will continue to buy bonds in its QE [Quantitative Easing] program.
So, it is a very different market than it was 10 years ago, and you're going to see a lot of corporate bond issuance as these infrastructure projects go out there, and you can capture some pretty good yields and you know what you're buying because it's a corporate bond.
As oil prices have fallen, defaults in the sector have risen — about a quarter of all corporate bond defaults in 2015 were energy related, according to Moody's — and that's made traders even more reluctant to buy.
At Thursday's auction of a 7.37 percent 2023 bond, the Reserve Bank of India was only able to sell about 430 million rupees out of the 30 billion on offer into the market, with the remainder having to be bought by primary dealers.
The answer is straightforward: The Bank of Japan can buy government bonds on the open market, paying for them with either currency or deposits at the Bank of Japan, what economists call high - powered money.
In the past, banks would happily buy corporate bonds that investors wanted to dump and then either sell them to someone else or package them up in another type of security.
The Riksbank raised its bond - buying target by $ 3.22 billion until end of June.
Inflation is a concern within Germany as it's still haunted by the hyperinflation of the 1920s and top economists — like Bundesbank President Jens Weidmann — have been noticeably cautious on too much bond buying from the ECB.
One line of thinking now is that the central bank may opt to combine the two programs and buy longer - dated bonds more aggressively, then set as its new target the total balance of bond holdings or the size of its balance sheet, the sources said.
European stocks closed higher on Friday after the ECB announced an extension of its massive bond - buying program.
Convertible bonds are securities that pay interest, but give the bondholders the right to convert them to equity shares; they're basically a way to bet on the growth potential of a company without taking the risk of buying common shares.
The easiest way for the central bank to ramp up the size of its balance sheet would be to buy longer - dated government bonds.
Finance Minister and former premier Taro Aso - who some suspect of dreaming of a come - back of his own - said on Tuesday Japan had no plan to buy foreign currency - denominated bonds as part of a monetary easing program.
The interest rate on 10 - year bonds was 1.79 % at the end of 2014 — about half as much as the federal government had to offer to get investors to buy its debt a decade ago.
There were a few dissents, but a majority of the Monetary Policy Committee also opted to create # 60 billion (about $ 100 billion) to buy government bonds over the next six months and # 10 billion to purchase corporate debt over 18 months.
Under its current asset - buying and lending tool, the BOJ limits the duration of government bonds it buys to three years because it wants to push down the cost of borrowing for companies, many of whom work in three - year investment cycles.
An executive board member of the European Central Bank (ECB) has told CNBC that it is too early for the central bank to start discussing a reduction in its bond - buying program.
But, «the U.S. and the Bank of England have gone to more extremes because they have interest rates below the Bank of Canada's, and they've also been buying bonds to lower longer term interest rates,» Shenfeld added.
To do so, the Fed will have to buy hundreds of billions of dollars of bonds a year, starting in 2016, to replace the ones that come due.
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.
Because bond prices tend to move in the opposite direction of stock prices, you can also buy bond funds to further balance the risk of those stock funds.
When Alexandre Pestov, a strategic consultant and research associate at York University's Schulich School of Business, compared buying a two - bedroom Toronto condominium to renting it over the past 25 years, he found that the renter ended up $ 600,000 richer than the owner if he invested the spare cash in low - risk bonds.
The market remains skeptical that the Bank of Japan can keep to its bond - buying program, says Alvin Liew of UOB.
Since those investors are just looking for the highest returns, and not say buying bonds their financial advisor told them they needed bonds as part of their retirement planning, they are more likely to jump when rates rise.
LONDON, April 24 - Less than two weeks after the latest round of U.S. sanctions plunged Russia's rouble to 16 - month lows, some global funds have already stepped back in to buy rouble - denominated sovereign bonds and take advantage of the weaker currency.
So for example if you bought a bond with 25 percent of each of the major economies, and Italy defaulted, you would still be paid on the remaining 75 percent, presumably at least,» he added.
The bond buy - backs are a component of the Fed's quantitative easing program, whose goal is to inject liquidity into markets and keep interest rates low.
(The devaluation of the peso brought the value of his mortgage down to $ 50,000, which he was able to pay off by buying bank bonds at a 50 percent discount.)
The exact mix of shares and contingent convertible bonds the HFSF will buy from banks in exchange for any fresh funds it will provide will be decided by the cabinet.
In theory, hedge funds can pursue a lucrative strategy of buying impaired bonds from less knowledgeable investors at deeply discounted prices and then taking aggressive legal action to collect all, or almost all, of the promised principal and interest.
Investors can still play it safe by buying well - known, large - capitalization stocks, he notes, but it may be time to move money out of bonds, which continue to experience record inflows, and into stocks.
According to the Global Market Strategy team at JP Morgan, pension funds and insurance companies in the G4 - United States, euro zone, Japan and Britain - will buy at least $ 640 billion of bonds this year.
While offshore investors can buy bonds listed on the exchange, he said, they are discouraged by the lack of a central depositary.
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.
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