Sentences with phrase «of central bank liquidity»

is in defensive & large - cap stocks, no matter how highly valued they are / become — due to a tsunami of central bank liquidity which has scarcely dented the real economy, it's mostly been redirected into asset inflation.

Though I must say, the power of central bank liquidity still surprises me.

Fast forward to today, and we have trillions of central bank liquidity sloshing» round still seeking a home, but the banking system still remains pretty hesitant about balance sheet expansion.

Of course, markets have long known that eventually, after years of central bank liquidity injections, those stimulus measures would need to be unwound - but as we get closer to policy normalization, Jens Moestrup Rasmussen expects investor nervousness to be on the rise.

This is a break from recent years, when many asset classes rode a wave of central bank liquidity and moved in near lockstep.

We do not fight markets and therefore have not been sellers of equity markets by battling the power of central bank liquidity creation.

Not exact matches

The chief executive officer of Greece's largest lender expects that the emergency liquidity assistance given by the European Central Bank (ECB) will end in 2018.

Chinese officials might be trying to drain liquidity from their economy but the central bank remains fearful of raising interest rates.

As a result, primary dealers are the most influential non-governmental players in global financial markets, which is why they supposedly must meet certain liquidity and quality requirements and provide central banks with analysis and market intelligence on the state of the worldwide markets.

Net new loans surpassed the previous record of 2.51 trillion yuan in January 2016, which is likely to support growth not only in China but may underpin liquidity globally as major Western central banks begin to withdraw stimulus.

Its coincident move to support liquidity in China nevertheless can be seen as complementary to the efforts of the other central banks.

Moreover, it was not a coincidence that China made its announcement on the same morning that the other major central banks of the world announced their coordinated action to head off a liquidity crunch for European banks.

The European Central Bank (ECB) stopped all payments by one of Latvia's largest lenders on Monday, after its liquidity position collapsed in the wake of allegations from U.S. authorities.

Recent price swings in credit markets are «a wake - up call that central banks are withdrawing liquidity, and that the process is not going to be smooth,» Adam Richmond, Morgan Stanley's head of US credit strategy, wrote in a client note.

By providing liquidity to the broader eurozone (in the form of its monthly bond - buying program), the European Central Bank (ECB) is helping to limit the scale and duration of any contagion related to events in Greece.

Not that investors seem to worry too much for now: Korean stocks hit a six - year high two days ago, riding a wave of global liquidity created by central banks.

In a statement on October 20, 1987, Fed Chairman Alan Greenspan said, «The Federal Reserve, consistent with its responsibilities as the Nation's central bank, affirmed today its readiness to serve as a source of liquidity to support the economic and financial system» (Carlson 2006, 10).

The good news is that the European Central Bank and the Bank of Japan will continue to pump a fair amount of liquidity into the market, and foreign investors are going to continue looking for yield.

Also see Stein J (2013), «Liquidity Regulation and Central Banking», Speech at the «Finding the Right Balance» 2013 Credit Markets Symposium sponsored by the Federal Reserve Bank of Richmond, Charlotte, North Carolina, 19 April.

If this is true, by the way, it means that attempts at implementing liberalizing reforms are successful mainly during periods of great global liquidity, and this might have implications for China, especially if over the next few years global central banks begin to withdraw the huge liquidity injections that have underpinned asset bubbles around the world.

We get into some fixed income wonkery — Liquidity, supply, safety, demand, central bank purchases, and the dearth of high quality assets all are part of our conversation.

Strategists at Bank of America Merrill Lynch put a fine point on the paradox of how central banks created both a liquidity solution and problem with their historically aggressive measures while they and congressional legislators created a tighter regulatory environment.

«Liquidity,» in fact, is THE watchword now in bond trading — ironic, considering that the U.S. central bank's primary intention has been to boost the flow of cash through financial markets, drive a push toward riskier assets like stocks and corporate credit, and thus generate a wealth effect that would spread through the economy.

Banks are relying on the short end of the curve for much of their funding, which has been facilitated by the influxes of liquidity provided by the central banks, but challenges remain in the mid - to longerBanks are relying on the short end of the curve for much of their funding, which has been facilitated by the influxes of liquidity provided by the central banks, but challenges remain in the mid - to longerbanks, but challenges remain in the mid - to longer end.

A: No, I think that when interest rates are constrained by the zero bound, it is appropriate for central banks to look, if conditions warrant, for other ways to be expansionary and swapping short term assets for long term assets or what is the equivalent of a liquidity trap, printing money and buying long term assets, can be a reasonable solution.

In response, the Fed reduced the federal funds rate to essentially zero by mid-December, instituted swap lines to provide dollar liquidity to foreign central banks, added new liquidity facilities to target specific sectors of the shadow banking system and began to expand its balance sheet through asset purchases.

Right now, capital markets are swimming in an ocean of liquidity thanks to central banks flooding the system.

The risk of volatility spikes and liquidity shortages is rising, and it could get worse with new «quantitative tightening» policies from central banks.

Would this article be published if TSLAs market cap was 1billion instead of ~ 50 billion.Of course not.TSLA is much less a story of innovation and technology and much more one of a stock where rampant speculation resulting from Central bank liquidity has pushed its stock to levels completely unrelated to its prospects as a company.Its silly stock market valuation allows it raise cash to keep the charade going much longer than the economics of its business would ever suggest.

Central Banks can supply commercial banks with liquidity that facilitates interbank payments and payments by customers and banks to the government, but what banks lend is their own debt, not that of the centraCentral Banks can supply commercial banks with liquidity that facilitates interbank payments and payments by customers and banks to the government, but what banks lend is their own debt, not that of the central Banks can supply commercial banks with liquidity that facilitates interbank payments and payments by customers and banks to the government, but what banks lend is their own debt, not that of the central banks with liquidity that facilitates interbank payments and payments by customers and banks to the government, but what banks lend is their own debt, not that of the central banks to the government, but what banks lend is their own debt, not that of the central banks lend is their own debt, not that of the centralcentral bank.

Joseph Stiglitz recently acknowledged that instead of helping the global recovery, the «flood of liquidity» from the Fed and the European Central Bank is causing «chaos» in foreign exchange markets.

Given moral hazard concerns, regular liquidity - providing activities are likely to remain central banks» main line of defence in stressed environments.

So Bernstein concludes that «the crypto - bubble will continue until the Fed and other central banks remove too much liquidity from the economy, the availability of «greater fools» decreases, and the bubble deflates.»

This report is the result of a coordinated research effort by the central banks of Canada, Italy, Japan, the United Kingdom and the United States and the Bank for International Settlements on the determinants of market liquidity and on how central banks and other public authorities influence these determinants.

Because time is of the essence, and because during negotiations the central bank was squeezing liquidity [on Greek banks] in order pressurise us, in order to succumb, my constant proposal to the Troika was very simple: let us agree on three or four important reforms that we agree upon, like the tax system, like VAT, and let's implement them immediately.

However, the Reserve Bank's central position in the financial system, and its position as the ultimate provider of liquidity to the system, gives it a key role in financial crisis management.

We think greater global central bank - generated liquidity will be a positive for the corporate credit sectors and economically driven parts of the market, at least in the near - to - medium term.

Central banks around the world pumped trillions of dollars of liquidity into the financial markets, which experts say helped send the stock market to record highs.

It does this in several ways, including through its central position in the financial system and its role in managing and providing liquidity to the system, and through its chairmanship of the Council of Financial Regulators, comprising the Reserve Bank, APRA, the Australian Securities and Investments Commission and Treasury.

In addition to near zero interest rates, central banks created excessive amounts of money by issuing trillions of dollars of bonds, e.g. QE1, QE2, QE3, QE4, etc. pushing unprecedented amounts of newly created money into global markets to contain the growing deflationary threat; and, while it failed to contain deflation, the excessive liquidity is now circulating in markets with no place to go, akin to moribund monetary edema.

The 2008 financial crisis saw interest rates in the UK fall to historical lows of 0.50 percent in March 2009, as the central bank went all out to help the UK economy recover from the global liquidity crunch.

Again, when risk - aversion kicks in during the completion of a market cycle, central bank liquidity does not reliably support stocks, because safe liquidity is seen as a desirable asset rather than an inferior one.

Thereby, the increased dependence on central bank liquidity may have weakened the resilience of markets, making them more prone to a (small) shock, such as an adjustment of market expectations on monetary policy.

To alleviate the slowdown and offset the liquidity drain due to continuing capital outflows the People's Bank of China, the central bank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of MaBank of China, the central bank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of Mabank, undertook further easing measures, cutting the reserve requirement ratio by a further 50 basis points to 17 % and 15 % for large and small banks respectively at the beginning of March.

This is the insanity of the financial world to which the central banks continue to provide liquidity.

While mortgage lenders have tightened their wallets since 2008, corporations have been borrowing with abandon, abetted by trillions of dollars in central bank liquidity and investors searching for yield they can no longer find in government bonds or money markets.

In particular, the Chinese central bank has been making headlines and disturbing the «easy money fan club» by daring to slow the growth of aggressive lending within the Chinese financial system by limiting liquidity growth to the financial system as a whole.

In light of his refusal to carry out the duties of a central bank and act as lender of last resort when Greek banks run out of cash, Mr. Varoufakis has said that: «If necessary, we will issue parallel liquidity and California - style IOU's, in an electronic form.

We believe that central - bank liquidity and better - than - expected global economic data contributed to the lower levels of volatility.

Central bank bond - buying measures in most of the world have helped to increase liquidity, support asset prices, and smooth volatility.