Sentences with phrase «of rising interest rates as»

If the world were to enter an era of rising interest rates as we experienced in the 70s and early 80s, the mighty tailwind that's boosted valuations over the past 30 - plus years would turn into a long - lived headwind.
Nygren also talks about the pros and cons of rising interest rates as they pertain to bank stocks, why he is high on some industrial stocks, and why he thinks investors are overreacting to oil price declines, creating opportunities in oil stocks.
You might consider them if you're concerned about the possibility of rising interest rates as you approach retirement.

Not exact matches

YELLOWKNIFE, Northwest Territories, May 1 - Bank of Canada Governor Stephen Poloz said on Tuesday that the view of the Canadian economy is quite good despite record levels of household debt, and he was confident the central bank can manage the risk of that debt even as interest rates rise.
As well as their impact on the currency markets, rising interest rates weigh on gold in their own right, as they increase the opportunity cost of holding non-yielding bullioAs well as their impact on the currency markets, rising interest rates weigh on gold in their own right, as they increase the opportunity cost of holding non-yielding bullioas their impact on the currency markets, rising interest rates weigh on gold in their own right, as they increase the opportunity cost of holding non-yielding bullioas they increase the opportunity cost of holding non-yielding bullion.
But recent market turmoil reminded the world that share prices don't always go up, as rising interest rates, sweeping technological change, and the possibility of a trade war stoked anxiety on Main Street and Wall Street.
Oil prices strengthened slightly ahead of the settlement Wednesday as the Federal Reserve held interest rates steady and expressed confidence that a recent rise in inflation would be sustained.
DoubleLine Capital CEO Jeffrey Gundlach speaks to CNBC's Scott Wapner on the sidelines of the Sohn Conference about his best new investment ideas, his outlook for markets and the economy, as well as the rising interest rate environment.
In a recent survey, more than a fifth of small business owners cited rising interest rates as a top challenge for their business.
If interest rates rise and the monthly cost of carrying a mortgage edges up, there's little doubt that prices will fall, as rising rates make homes less affordable.
«As interest rates begin to rise over time, financial institutions will find it necessary to pass along their increased costs in the overall cost of credit to small business and commercial customers.»
U.S. yields have risen in recent weeks with increased inflation expectations due to the proposed polices of President - elect Donald Trump, as well as the belief that the Federal Reserve will also raise interest rates again this month.
As interest rates rise, the prices of existing bonds fall in order to make the yield of their fixed coupons competitive in the market.
Bank of America reported a 44 % rise in quarterly profit as higher interest rates bulked up earnings from loans and an increase in trading boosted revenue.
«As real long - term interest rates rise, stock prices fall,» but that's probably not the cause of the wild market swings, Greenspan says.
Such risks, uncertainties and other factors include, without limitation: (1) the effect of economic conditions in the industries and markets in which United Technologies and Rockwell Collins operate in the U.S. and globally and any changes therein, including financial market conditions, fluctuations in commodity prices, interest rates and foreign currency exchange rates, levels of end market demand in construction and in both the commercial and defense segments of the aerospace industry, levels of air travel, financial condition of commercial airlines, the impact of weather conditions and natural disasters and the financial condition of our customers and suppliers; (2) challenges in the development, production, delivery, support, performance and realization of the anticipated benefits of advanced technologies and new products and services; (3) the scope, nature, impact or timing of acquisition and divestiture or restructuring activity, including the pending acquisition of Rockwell Collins, including among other things integration of acquired businesses into United Technologies» existing businesses and realization of synergies and opportunities for growth and innovation; (4) future timing and levels of indebtedness, including indebtedness expected to be incurred by United Technologies in connection with the pending Rockwell Collins acquisition, and capital spending and research and development spending, including in connection with the pending Rockwell Collins acquisition; (5) future availability of credit and factors that may affect such availability, including credit market conditions and our capital structure; (6) the timing and scope of future repurchases of United Technologies» common stock, which may be suspended at any time due to various factors, including market conditions and the level of other investing activities and uses of cash, including in connection with the proposed acquisition of Rockwell; (7) delays and disruption in delivery of materials and services from suppliers; (8) company and customer - directed cost reduction efforts and restructuring costs and savings and other consequences thereof; (9) new business and investment opportunities; (10) our ability to realize the intended benefits of organizational changes; (11) the anticipated benefits of diversification and balance of operations across product lines, regions and industries; (12) the outcome of legal proceedings, investigations and other contingencies; (13) pension plan assumptions and future contributions; (14) the impact of the negotiation of collective bargaining agreements and labor disputes; (15) the effect of changes in political conditions in the U.S. and other countries in which United Technologies and Rockwell Collins operate, including the effect of changes in U.S. trade policies or the U.K.'s pending withdrawal from the EU, on general market conditions, global trade policies and currency exchange rates in the near term and beyond; (16) the effect of changes in tax (including U.S. tax reform enacted on December 22, 2017, which is commonly referred to as the Tax Cuts and Jobs Act of 2017), environmental, regulatory (including among other things import / export) and other laws and regulations in the U.S. and other countries in which United Technologies and Rockwell Collins operate; (17) the ability of United Technologies and Rockwell Collins to receive the required regulatory approvals (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the merger) and to satisfy the other conditions to the closing of the pending acquisition on a timely basis or at all; (18) the occurrence of events that may give rise to a right of one or both of United Technologies or Rockwell Collins to terminate the merger agreement, including in circumstances that might require Rockwell Collins to pay a termination fee of $ 695 million to United Technologies or $ 50 million of expense reimbursement; (19) negative effects of the announcement or the completion of the merger on the market price of United Technologies» and / or Rockwell Collins» common stock and / or on their respective financial performance; (20) risks related to Rockwell Collins and United Technologies being restricted in their operation of their businesses while the merger agreement is in effect; (21) risks relating to the value of the United Technologies» shares to be issued in connection with the pending Rockwell acquisition, significant merger costs and / or unknown liabilities; (22) risks associated with third party contracts containing consent and / or other provisions that may be triggered by the Rockwell merger agreement; (23) risks associated with merger - related litigation or appraisal proceedings; and (24) the ability of United Technologies and Rockwell Collins, or the combined company, to retain and hire key personnel.
Alternatively, it's best to shorten the average term to maturity of your bond portfolio as interest rates enter into a rising cycle, because the shorter the term, the less their price will be affected.
NEW YORK, May 2 (Reuters)- The U.S. dollar rose to four - month highs against a basket of major currencies and world stock indexes mostly edged lower on Wednesday as investors awaited the outcome of a Federal Reserve meeting and possible indications on the interest rate outlook.
But she still thinks «old money tech» — like Microsoft (Nasdaq: MSFT) and Apple (Nasdaq: AAPL)-- «that historically have been able to weather any rise in interest rates will be direct beneficiaries of this capital expenditure spending cycle that we anticipate as we move into 2015 and 2016.»
Second, rates aren't just low; we have been enjoying unprecedented clarity from the Bank of Canada, and now from the Federal Reserve as well, that there is only a negligible chance that administered interest rates will rise at least before the year is out, and possibly into 2014.
The Fed's announcement assuaged investors» concerns about the possibility of accelerated interest - rate increases as rising materials costs for companies have signaled a pickup in inflation.
NEW YORK, Feb 5 - The dollar rose against a basket of currencies on Monday as the U.S. bond market selloff levelled off after the 10 - year yield hit a four - year peak on worries that the Federal Reserve might raise interest rates faster to counter signs of wage pressure.
Investors should buy Goldman Sachs stock as rising interest rates and rebounding revenue put the bank in the «early innings» of a new growth story, according to Bernstein.
Volatility has come back with a vengeance recently as worries of rising inflation sent interest rates higher, rattling investors.
Yet managing a smooth transition out of the extraordinary bond purchases «could prove challenging» as both interest rates and market volatility rise.
Stocks are falling as traders worry about rising interest rates, and volatility as measured by the VIX has jumped to its highest since the market turmoil of August 2015.
Stocks have plunged in the last week as traders worried about rising interest rates and inflation, bringing an end to more than a year of historically low volatility.
Gold is highly sensitive to rising U.S. interest rates, as these increase the opportunity cost of holding non-yielding bullion while boosting the greenback.
«The cumulative effect of interest rate hikes is going to begin mounting,» said Greg McBride, Bankrate.com's chief financial analyst, particularly on variable - rate loans such as credit cards, home equity lines of credit and adjustable - rate mortgages, which could rise within one to two statement cycles.
Bond yields have been rising as interest rate expectations have been rising, and the wage number confirms signs of wage inflation.
Interest rates will inevitably rise, as the Bank of Canada keeps pointing out, and the federal government has instituted numerous changes over the past few years that will make a home purchase more difficult for first - time buyers.
The central bank has concerns about the ability of households to keep paying down their high levels of debt when interest rates continue their rise, as is widely expected over the coming months.
But as valuations settle — and the inevitable rise of interest rates all but guarantees they will — founders who overreached will struggle to support, or defend, those valuations.
This data shouldn't change the Fed's interest - rate strategy, as a rising labor force participation rate will put a lid on inflation regardless of how it's done, but it should lower our confidence that the Fed can solve the problem of a bifurcated workforce, in which a large chunk of workers are getting left behind, simply through interest rate policy.
«Normally when you get to this part of the cycle, where the disparity in valuations between growth stocks and value stocks is as wide as it is today, accompanied by rising interesting rates, normally there's a shift where value comes in favor,» he says.
«Normally when you get to this part of the cycle, where the disparity in valuations between growth stocks and value stocks is as wide as it is today, accompanied by rising interest rates, normally there's a shift where value comes in favor.»
«As the business cycle deepens and inflationary concerns push interest rates higher, cross-asset correlations with commodities decline and the diversification benefits of owning commodities rises with higher rates
«The extent and speed of the rally in gold prices is somewhat surprising as there are few pressing reasons to be bullish, indeed there are more headwinds than tailwinds,» ScotiaMocatta said in a monthly note, citing rising U.S. equity markets as well as higher U.S. interest rates.
As well, there is some concern around how an interest rate rise will affect these stocks, most of which pay dividends and thus compete with bonds for investors» money.
Treasury yields rise on Tuesday as traders position themselves ahead of the conclusion of a two - day Federal Reserve meeting commencing Tuesday, that is expected to reveal an upbeat outlook for the economy and culminate in the sixth interest - rate increase since December 2015.
Treasury yields resume a steady climb higher on Wednesday as fretting about the threat of an economically disruptive trade war between the U.S. and China subsided, and takes a back seat to the concerns about rising interest rates and coming labor - market data, which could inform the Federal Reserve's policy agenda.
In the later stages of an expansion — where we are now — basic materials are a good play, as are financials in this rising interest - rate environment, which creates lucrative spreads for banks and financial services companies.
Thus, as prices of bonds in an investment portfolio adjust to a rise in interest rates, the value of the portfolio may decline.
HERERA: And, Bill, those rising costs are likely catching the attention of those Federal Reserve policymakers as they began their two - day meeting on interest rates.
Enter the value factor As we noted in our November Investment Directions, in periods of rising interest rates and benchmark bond rates, value has tended to outperform.
As the price of bonds in a fund adjusts to a rise in interest rates, the fund's share price may decline.
Thus, as the prices of bonds in an investment portfolio adjust to a rise in interest rates, the value of the portfolio may decline.
«If the rise in interest rates is moderate and comes as a result of improvement in the overall economy, that need not preclude stocks from performing well.»
* GOLD: Gold prices rose for a second session on Thursday after the U.S. Federal Reserve held interest rates steady as expected at the end of a two - day policy meeting, while investors awaited U.S. - China trade talks.
A number of factors — such as rising US interest rates, the recurrence of big fluctuations in global currencies, and the widening dispersion of equity returns across sectors and regions — may have helped to create an increasingly conducive environment for hedge - fund strategies, which have seen a positive turnaround in performance in recent quarters.
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