Based
on the bond markets there has been little...
Not exact matches
Deutsche Bank also thinks
there are also potentially endogenous factors, or factors directly inside the
market, weighing
on the
bond market's behavior.
But
there's more going
on here than poor planning and backroom arguments — something that is making even wary investors outside the corporate
bond market sit up and take notice.
The Greek government might be preparing to return to the
bond market but
there are many structural problems that have yet to be resolved to make the economy more sustainable, an analyst told CNBC
on Friday.
Although
there may not be a
bond bubble, with investors starved for yield, Gundlach predicts a potential bubble could form in credit risk as investors increase their leverage
on riskier debt securities like junk
bonds and emerging
market debt.
A spike in
bond yields and a clear change of direction from central banks means
there isn't a lot of value in global
bond markets, a fund manager told CNBC
on Tuesday.
And the «indications are that the directive has already had a meaningful impact
on bond markets, and
there could be a lot more to come over the next 24 months.»
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.
So
there is an even chance that the
bond market's ebullience
on Friday will be reversed
on upcoming inflation reports.
But
there are 2 factors to consider in the muni
market: First, banks and insurance companies held 28 % of the municipal
bonds on the
market as of the second quarter of 2017.
Bond fund withdrawals might have had a greater effect on markets where there is less trading, such as municipal securities — but even there, redemptions from bond funds would have accounted for less than 10 percent of the primary dealers» trad
Bond fund withdrawals might have had a greater effect
on markets where
there is less trading, such as municipal securities — but even
there, redemptions from
bond funds would have accounted for less than 10 percent of the primary dealers» trad
bond funds would have accounted for less than 10 percent of the primary dealers» trading.
I would personally recommend you reduce equity exposure to 60 % total if and when
there is a correction in the
bond market, specifically muni
bonds for tax purposes based
on your income.
There could be more pain in other sectors of the
bond market based
on credit quality and maturity, but the point is that
bonds were never meant to be long - term return enhancers for your portfolio.
While
there was no significant or immediate impact
on China's onshore
bond market, the yield - to - maturity tracked by the Read more -LSB-...]
Although he says he is not sure whether the
market will suffer $ 10 billion or $ 30 billion in defaults, he is certain that
there will be a panic at the margin, and Muni
bonds from the highest - rated
on down will fall, in part because other investors tend not to step to invest.
There is a lot of cash
on the sidelines which recently exited the stock and high yield
bond markets and is looking to pile opportunistically in the PM sector.
I think that means European
bonds are potentially positioned to perform well — especially relative to other
bond markets in the world — because the ECB is very much
on a heavy easing cycle, compared with other countries where
there is talk that rates eventually will rise (namely the United States).
There certainly are mutual funds that focus
on particular sectors or pieces of the
bond market, but your choices are more limited.
Created with love in Sweden with a strict emphasis
on design and comfort,
there is simply nothing else like it
on the
market that allows mothers to feed, soothe, and
bond with baby.
«
On the one side
there is the IMF, the OECD, the credit rating agencies, the
bond markets, the European commission, the CBI, the IoD, the BCC, the governor of the Bank of England, most British businesses, two of our historic political parties, one of the Miliband brothers, Tony Blair and the British people.
And in case a small hidden microphone wasn't James
Bond enough, Levy said
there's also a product
on the
market called the Roger pen, which functions like a clip -
on microphone, but is a bit more multipurpose — the device looks just like a pen.
There are several diabetes - specific moisturizers
on the
market, including Gold
Bond Diabetic Skin Relief Lotion ($ 10; amazon.com) and Eucerin Diabetics» Dry Skin Relief Body Lotion ($ 12; amazon.com).
Another point is that
there can be mark - ups in
bonds and thus it isn't necessarily that you are making more in trading
bonds assuming one is buying
bonds on the secondary
market that may not be as liquid as a mutual fund.
Also, when an event that has been anticipated occurs, like a ratings downgrade
on the
bonds of a troubled company, the
market reaction says a lot, because often
there are many who were waiting to buy once the downgrade happened, so price rises a lot at the downgrade.
Then
there's the type who makes tactical shifts like overweighting emerging
markets or underweighting
bonds based
on forecasts.
There are other cases — like during this credit crisis the values of
bonds on the secondary
market dropped.
Limitations
on who can invest in local
bonds, restrictions
on how money is allowed to flow into and out of these countries, and the small overall size of these
bond markets make investing
there tricky.
While
there was no significant or immediate impact
on China's onshore
bond market, the yield - to - maturity tracked by the S&P China Sovereign Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2
bond market, the yield - to - maturity tracked by the S&P China Sovereign
Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2
Bond Index continued its tightening trend seen in 1H 2015, dropped 48 bps to 3.08 %, as of June 29, 2015.
But even among these positive yielding
markets, interest rates
on government
bonds there are low.
There must be a way to see the Big Picture and lighten up
on areas that are over-valued, but still enjoy an average return at least approaching that of the
market as a whole... I'd love to hear some simple strategies that require a little thought, and don't just focus
on keeping a lot of money in cash and short term
bonds.
No Ideal Plan — Although
there may be more ideal «looking» ballast plans based
on back - testing (like the Kitces
bond tent idea), any ballast approach will still be subject to future
market unpredictability.
Of course,
there are other investments that must be managed such as IRAs, private sector 401Ks, brokerage accounts, savings
bonds, savings and money
market accounts, and so
on.
While
there was no significant or immediate impact
on China's onshore
bond market, the yield - to - maturity tracked by the Read more -LSB-...]
Large index ETFs, which have real - time net asset values (NAVs), have not helped this pricing problem in fixed income but, in parts of the fixed income
market where
there is less liquidity (such as high yield
bonds), sourcing issues can be more difficult — particularly in a
market sell - off where buyers may not be readily available with sufficient capacity to take
on bond inventory.
We'll focus
on considering the risks within the
bond market, and pursuing appropriate returns from
there.
okay here's my two cents worth folks im up for renewal and have just nagotiated a rate 5 yr variable1.75 persent or if i want a five yr fixed at 4.49 still quite a gap between fixed and variable here i believe i have a little lee way here apparently i was only interesed in variable and five yr fixed but i made it absulutly apparent to them that when lock in from a variable i get the whosale discounted rate at that time and written into the contract i kinda believe this the way the
market is heading as we head out of ressesion and the bank of canada is going to make
there move i believe coming up in june and just to make this firm i do not believe the boc will raise rates in fast mode far from it will be slow process i don't care what the ecconmists are thinking we have to remember manufactering sector is reallt taking a hit
on the high dollar and don't forget our niegbours to the south how dependent our canada is with them i believe it will be a slow process a lot of people heve put themselves in a debt load over these enormously low interest rates but i may be wrong i think a variable is the way to go if you want to work
on that princibal at least should i say the say the short to medium term and betting that the
bond markets stay put for the short to medium term - i have given enough interest to the banks maybe i can pay a little less at least fot the short to mediun term here i have not completly decided yet put i think im going variable although i wish my mtge was up a year ago that would have been just great congradulations to all that did.
The Best of the AAII Journal The Muni
Market Turmoil Continues: What's Going on and How to Respond There have been a number of very bad years in the municipal bond m
Market Turmoil Continues: What's Going
on and How to Respond
There have been a number of very bad years in the municipal
bond marketmarket.
If
market participants believe that
there is higher inflation
on the horizon, interest rates and
bond yields will rise (and prices will decrease) to compensate for the loss of the purchasing power of future cash flows.
There is a risk of a capital loss for
bonds sold
on the secondary
market.
On October 15, 2014, in a related development,
there was a flash crash in the
market for U.S. Treasury
bonds.
And,
there are some investors who invest in the
bond market but don't focus
on the yield of the
bond.
I'm not suggesting that everyone owning
bonds has hedged, either, but when the amount of CDS exceeds outstanding
bonds, that means
there is gambling going
on, because it means that
there are
market players that are not long the
bonds that are taking the side of the trade where they receive income in the short - run if the company survives, and pay if the company fails.
When I came
on the scene in 2001 as a corporate
bond manager,
there were several areas of the
bond market that had a lot of issuance: autos and telecommunications.
And while small business owners may be tempted to rely
on the success of their business as their sole source of income and retirement savings or only diversify their portfolios among stocks and
bonds,
there are other options they should consider to secure their retirement savings in today's
market.
There's something weird going
on in the overall
market (the one in which stocks compete with
bonds and other asset classes for the hearts and minds of investors).
For a discussion
on the U.S. Treasury
bond market there is a good read in the recent article «I wouldn't buy a
bond with your money» by Jared Dillian at Mauldin Economics which is focused
on the U.S. Treasury
bond market, particularly the 10 year
bond.
There were no direct catalysts, but some
market analysts blamed the Greenback's weakness
on news about a possible North Korean missile test since that caused U.S.
bond yields to contract sharply as demand for U.S.
bonds surged.
The majority of global equity
markets have posted negative returns,
bond yields are near record lows, the loonie has fallen to levels not seen in over 11 years, and, to top it all off,
there are some steep tax hikes
on the immediate horizon.
There have been a few articles recently
on the underperformance of Pimco, and
on the increasing concentration
on the buy side of the
bond market.
For
markets that are by necessity thin (which in the Arrow - Debreu sense as I read it is most
markets) examples being buying or selling a certain house, an obscure
bond, or offering / receiving credit default
on a thin slice of a securitization,
there is no way that complete
markets could exist.