Sentences with phrase «rated bonds increased»

Municipal Bonds — Municipal yields were mixed this week, with the 2 - year AAA - rated bonds increasing by 5 bps to yield 1.73 %.

Municipal Bonds — Municipal yields were also up this week, with the 2 - year AAA - rated bonds increasing by 5 bps to yield 1.81 %.

Not exact matches

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

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.

«I think the pressure [to increase interest rates] will be there, because the Fed in the U.S. should stop printing money, and taper off as they say,» Mr. Flaherty, referring to the dialling back of U.S. bond - buying, told CTV in an interview aired Sunday.

If Yellen's Fed fails to convince Wall Street about the policy path, a rate increase could trigger financial turmoil of the sort seen in 2013, when investors were caught off guard by the central bank signaling an end to its bond - buying program.

Moreover, Treasuries are quite sensitive to rate increases, and Ms. Jones found that the credit quality of the corporate bonds in the index had decreased since the financial crisis.

Some investors are now making calls that the euro zone's central bank could end its massive bond - buying program by the end of next year, with a potential rate increase in the fourth quarter.

Trump's plans to increase fiscal spending has boosted bond yields — a change that would support higher revenue for banks currently languishing in a low - interest rate environment.

Neither argument holds right now for holding any tactical cash, especially with no reasonable prospects for a near - term rate increase and the yield differential offered by bonds over cash right now.

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

Under that policy, the Federal Reserve has kept interest rates low and engaged for period of years in a campaign of aggressive bond purchases that have increased monetary supply and bolstered the stock market.

If interest rates do increase, which punishes dividend stocks, the funds can shift to bonds.

Looming Fed interest - rate increases could change the landscape for bond investors.

If at this point we found that using an interest rate of 6.8 % in our calculations did not yield the exact bond price, we would have to continue our trials and test interest rates increasing in 0.01 % increments.

Bond now is risky as the FED is toying increase interest rate, and you'd get stuck with a 5 year CD, of course when you get multimillions, it's really doesn't matter.

And the Fed increasing interest rates, plus rising bond yields, typically makes stock investors nervous.

Second, with emerging market interest rates already high, further increases will be smaller, limiting the threat to the bond prices, which move inversely to rates.

Rates affect bond investments, but they also affect all other investments in some form or another because higher rates mean that investors have other options in which to invest (dividend and REIT investors know this all too well in the recent rate increRates affect bond investments, but they also affect all other investments in some form or another because higher rates mean that investors have other options in which to invest (dividend and REIT investors know this all too well in the recent rate increrates mean that investors have other options in which to invest (dividend and REIT investors know this all too well in the recent rate increase).

When the Treasury bond interest rate increases, mortgage rates also tend to go up, according to a report by Zacks research.

Investment grade bonds contain «AAA» to «BBB - «(or Aaa to Baa3 for Moody's rating scale) ratings and will usually see bond yields increase as ratings decrease.

The February jobs report supports the case that the Fed doesn't have to rush to increase interest rates, BlackRock bond guru Jeff Rosenberg says.

A bond fund with a longer average maturity will see its net asset value (NAV) react more dramatically to changes in interest rates as the prices of the underlying bonds in the portfolio increase or decline.

As a result, investors have been dumping bonds, increasing interest rates and potentially crimping lending and growth.

All else equal, unless it possesses some sort of major offsetting advantage that makes the risk of non-payment low, a company with a low - interest coverage ratio will almost assuredly have bad bond ratings, increasing the cost of capital; e.g., its bonds will be classified as junk bonds rather than investment grade bonds.

Although bonds rated at AAA still dominate, the proportion of new issues of bonds rated A + or below has increased from 15 per cent in 1996 to 30 per cent in 1999 (Graph 8).

Since bonds are generally considered to be less risky, and a higher interest rate generally increases demand for bonds, that may hurt demand for stocks.

Typically, a higher - rate environment will increase spreads for banks / insurers, but you're absolutely right that the 10 - year yield could stay flat, especially when the yields for government bonds of other countries are so low.

While it decided not to, the Fed did say it expected «further gradual» rate increases would be justified — and there's broad consensus that it will raise rates (which can affect the amount banks charge borrowers, as well as interest paid on bonds) at least three times this year.

Western allies press Trump to maintain nuclear deal with Iran: Reuters US intelligence monitors Iranian cargo shipments into Syria: CNN A trade war is a major risk for China's debt - ridden economy: CNBC Federal judge orders gov» t must accept new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Money

Mortgage rates have steadily climbed amid a sell - off in the bond market, and there are signs that the increase could be slowing the housing recovery.

In 2013, the Fed indicated it would begin to reduce its bond purchases and 10 - year US Treasury rates increased by 1.3 percent to 3.02 percent.

We could take the $ 16 billion we have in cash earning 1.5 % and invest it in 20 - year bonds earning 5 % and increase our current earnings a lot, but we're betting that we can find a good place to invest this cash and don't want to take the risk of principal loss of long - term bonds [if interest rates rise, the value of 20 - year bonds will decline].»

But even if rates remain relatively low, the bond market proxy sectors look extremely vulnerable, as their valuations are highly sensitive to increases in interest rates.

If interest rates decline, however, bond prices usually increase, which means an investor can sometimes sell a bond for more than face value, since other investors are willing to pay a premium for a bond with a higher interest payment.

Continuing the theme of rising interest rates and following up from my last blog, «With all the News of Higher Interest Rates, Don't Forget About Floating - Rate Debt,» bond laddering is a strategy that provides increased income and the ability to adjust the stream of income in a rising - interest - rate environrates and following up from my last blog, «With all the News of Higher Interest Rates, Don't Forget About Floating - Rate Debt,» bond laddering is a strategy that provides increased income and the ability to adjust the stream of income in a rising - interest - rate environRates, Don't Forget About Floating - Rate Debt,» bond laddering is a strategy that provides increased income and the ability to adjust the stream of income in a rising - interest - rate environmRate Debt,» bond laddering is a strategy that provides increased income and the ability to adjust the stream of income in a rising - interest - rate environmrate environment.

Here you can see that rate increase along with the performance of these bonds over that period:

This has caused many investors to shift their bond allocation in anticipation of a rate increase and price losses in bonds.

Capital appreciation potential Companies issuing high yield bonds have the potential to turn around their financial standing, creating the opportunity for investors to realize capital gains as bond values increase, due to improving business conditions or improved credit ratings.

-LSB-...] shows why inflation is a bigger risk than an increase in interest rates to long maturity bond holders.

But lower interest rates generally mean higher stock and bond prices, as well as increases in the value of real estate, which has been another important source of wealth for many savers, particularly seniors.

For example, if inflation and interest rates increase rapidly soon, it may be prudent to add more bonds to your portfolio or replace cash ballast with intermediate term bonds.

I also discussed in Article 8.3 that Treasury Inflation Protected Securities (TIPS) bonds are likely to provide a particularly good hedge against the true risk of unexpected inflation rate increases.

And given this low interest rate environment, bonds may not be a great total return idea — especially if rates embark on a prolonged tightening (increase) spree.

We've all been there: Reading positive headlines about a company and wondering if you should buy their stock; seeing interest rate predictions and wondering if your bond portfolio is ready for the inevitable increase.

At the same time, rising rates depress bond prices and may be especially tough for credit - sensitive bonds, because higher rates increase the cost of capital.

According to the statute's own language, it was designed with the «purpose of reducing the need for future tax increases, maintaining the highest possible bond rating, reducing the need for short term borrowing, providing available resources to meet State obligations whenever casual deficits or failures in revenue occur, and providing the means of addressing budgetary shortfalls.»

As it had announced at the end of 2016, the ECB cut the size of its monthly bond purchases from $ 80 billion to $ 60 billion in April, but President Draghi also moved to quell speculation about an increase in the ECB's deposit rate later this year, which some critics had called for, even before any curtailment of the ECB's quantitative easing program.

«In 1994... the increase in short - term interest rates saw a drop of 4.75 percent on average in the (net asset value) of short - term bond funds.

The time to maturity is important because an increase in interest rates affects short - maturity bonds less than it does longer - dated bonds.