Mad Money host Jim Cramer goes off the charts with the help of Carly Garner of DeCarley Trading, who expects the long
rally in bond prices to soon end.
Not exact matches
Here's the upshot: After an initial multiyear recovery
in stock and
bond prices after a crisis (the
rally we saw through last year) comes a long stretch of lousy returns.
Junk -
bond ETFs
rallied on Wednesday, as markets breathed relief that the «fiscal cliff» is no longer a concern and as a result,
bond yields are under 6 percent for the first time ever, and junk ETF share
prices hit levels not seen
in years
in some cases, according to an article on ETF Trends.
Top 5 things that rocked U.S. markets this week — a surge
in bond yields sparked investor concerns, crude oil
prices snap 2 - week winning streak, dollar extends
rally, gold
prices struggle, and Bitcoin update
The recent oil
price rally has pushed the energy sector upward
in both the equity and
bond markets.
The recent rebound
in commodity
prices has been good news for high yield
bonds, helping the sector (and credit overall)
rally since mid-February.
The US Fed indicated further moves would be dependent on global factors and oil
prices — a key detail signifying that future rate hikes seem likely to develop on a slower scale, causing a European government
bond market
rally on Thursday, sending yields lower
in the region.
The recent oil
price rally has pushed the energy sector upward
in both the equity and
bond markets.
Rebalance: While stocks have
rallied sharply,
bond yields have improved somewhat (recall that
bond prices move
in opposite direction to
bond yields)-- 10 - year
bonds are now yielding 3.5 % up from around 3.0 %
in March.
«Rising Oil
Prices Support Modest
Rally in Corporate
Bond Market,» Morningstar, 14 May 2018, http://www.morningstar.com/articles/865617/rising-oil-
prices-support-modest-
rally-
in-corporat.html
The recovery
in commodity
prices has taken some of that pressure off, and both these
bonds and share
prices have
rallied.
This weeks weakness is due to a
rally in crude oil
prices, a pickup
in government
bond yields as inflation rises and geo - political uneasiness around the globe.