Sentences with phrase «on bond ratings»

Bond investors do their own due diligence, and do not depend on bond ratings for their analysis.

In our August letter we pointed out that the turnaround in global economic growth would continue to reduce central bank enthusiasm for QE (bond purchases) and lead to sustained upward pressure on bond rates.

For example, investors might use the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) to gain access to greater credit risk through an ETF focused on bonds rated BB and B, and the iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) to gain access to less credit risk through an ETF focused on bonds rated A and BBB.

For an update on I bonds rates as of (10/18/12), please see: November 2012 I bonds rates are announced: 1.76 %.

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.

The new bonds would capitalize on the province's ability to raise funds at low interest rates, said Finance Minister Charles Sousa.

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.

LONDON, May 1 (Reuters)- The dollar broke into positive territory for the year and bond yields were creeping higher again on Tuesday, as the recent rise in oil prices fuelled bets that the U.S. Federal Reserve will flag more interest rate hikes this week.

He says that if you can get only a 2 % return on bonds — rates we're seeing today — and 5.5 % yields on blue - chip stocks like BCE, it makes sense to overweight stocks, no matter what your age.

That data raised a fresh round of questions about how the Federal Reserve will proceed on further cutting back on its massive monthly bond purchases, which have kept long - term rates low and encouraged a strong rally on equity markets.

Although last year was favorable for developing countries, investors remember the painful «taper tantrum» that ensued several years ago, when the Fed signaled it would begin pulling back on its massive bond purchases that kept rates low while injecting liquidity in markets.

NEW YORK, May 1 - The dollar broke into positive territory for the year and U.S. bond yields inched higher again on Tuesday as the recent rise in oil prices fueled expectations the Federal Reserve could flag more interest rate hikes at its policy meeting this week.

Institutional investors (such as pension funds) routinely insist on holding only highly - rated securities, so a downgrade can force them to sell that issuer's bonds.

In a client note on Thursday titled «Yanking down the yields,» the interest - rates strategist projected that bond yields would be much lower than the markets expected because central banks including the Federal Reserve were reluctant to raise interest rates.

For example, interest - rate - sensitive income stocks and bonds tend to do well coming out of the trough, and more cyclical companies excel later on as the recovery gains steam.

Bond prices were higher, stocks waffled and the dollar flip - flopped after the Fed's post-meeting statement failed to deliver the clarity markets were looking for on the course of rate hikes.

Beata Caranci, chief economist at TD Bank, doubts another rate hike in the U.S. would have much of an impact on bond yields in Canada.

While investors will have to find stocks with higher yields, pay more for them and take on more risk in bonds, the biggest change in a permanently low - rate world is that people will need to set aside more of every paycheque if they want to keep the same goal for retirement income.

The low interest rates that the Federal Reserve relied on to kick - start the economy, meanwhile, fed this same dynamic, making it easier for fast - growing companies to borrow money to grow further — and making bond interest look unattractive compared with stock dividends.

The reason average Americans should care about the «taper» is that higher interest rates on bonds also means higher interest rates on things like mortgages.

Buying bonds on an unlimited basis while indicating that rates will be kept low for years requires some «splaining.

The so - called smart money is focused on currencies over bonds in anticipation of the Fed's long - awaited interest rate increase.

On Thursday, Argentina sold $ 7 billion in five - year and 10 - year dollar bonds in the international market at interest rates of 5.625 percent and 7 percent.

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 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.

Still, combine the indications of the short - term bond market with today's 5 % GDP news and you get the sense that stock traders betting on low interest rates for longer periods of time may soon have to bail out.

The company declined to comment on the performance of its bonds or its credit ratings.

The move is a novel way for the San Mateo, Calif., company to finance the enormous cost of installing panels on thousands of roofs — a typical residential system costs $ 25,000 — while appealing to retail investors who are on the hunt for better rates of return than they can find in savings accounts and government bonds.

Earlier this year, countries on Europe's periphery (notably Italy and Spain) faced rising interest rates on newly issued government bonds, which threatened to push them into insolvency.

While Fink is right to point out that low interest rates are putting a large burden on those of us trying to save retirement, he does not address the fact that central banks aren't primarily responsible for the fact that bonds of all types are yielding less today than we're used to.

That would put a floor on five - year mortgage rates of about 2.6 % — assuming the five - year bond rate doesn't fall any further.

Late last month, chemical company Altice had to cut back a bond offering and increase the interest rate to 11 % on a portion of a multi-billion dollar deal.

While Venezuela has kept current on its bond payments, it has paid some coupons late, leading ratings agencies to declare a selective default and keeping creditors guessing.

Beyond the requirements that liquidity and regulators impose on us, we will purchase currency - related securities only if they offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk - bond debacles, or because rates rise to a level that offers the possibility of realizing substantial capital gains on high - grade bonds when rates fall.

Butler: We could see interest rates moving up and this will have an impact [on] long bond investors.

The biggest impact would be on interest rates and bond prices, he says.

Moody's has today also placed Spain's Baa3 government bond rating on review for possible further downgrade in order to assess the implications of several factors on the Spanish government's ability to continue to fund its borrowing requirements in the private debt markets.

London, 13 June 2012 — Moody's Investors Service has today downgraded Spain's government bond rating to Baa3 from A3, and has also placed it on review for possible further downgrade.

For ratings issued on a program, series or category / class of debt, this announcement provides relevant regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series or category / class of debt or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody's rating practices.

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.

China may witness its first local government bond defaults, although the timing was uncertain, Fitch Ratings said in a press release issued on Sunday, amid persistent concerns over high debt levels in the world second largest economy.

Separately, they also argued that bond yields are the «Achilles» heel of global markets,» arguing that «market pricing on Fed rate hikes, however, remains modest and there is to our minds significant risk of a more disorderly repricing of global bond yields.

The Bank of England cut interest rates on Thursday for the first time since 2009, revived its bond - buying program and said it would take «whatever action is necessary» to achieve stability in the wake of Britain's vote to leave the European Union.

The simplified explanation for this aberrant investing disaster was a dramatic rise in interest rates during the period: Rates on long - term government bonds went from 4 % at year - end 1964 to more than 15 % in rates during the period: Rates on long - term government bonds went from 4 % at year - end 1964 to more than 15 % in Rates on long - term government bonds went from 4 % at year - end 1964 to more than 15 % in 1981.

World shares and bonds rallied on Thursday, after the Federal Reserve left U.S. interest rates unchanged and slowed the pace of future hikes, weakening the dollar and lifting commodity prices.

While U.S. savings bonds have lost popularity as a means of long - term savings due to the low interest rates they currently earn, some retirees have been holding on to bonds that were issued when rates were higher.

The two signals flashing red are volatility shocks, and spreads on the highest rated corporate bonds.

«On the bond side, we've been in a sustained low - rate environment,» she said.

They have also increased the cost of new fixed - rate mortgages as yields on the bond market have moved higher.

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