Sentences with phrase «rates rise the price»

This means that if interest rates rise the price of a high duration bond will fall more than the price of a low duration bond.

This means that if interest rates rise the price of a high duration bond will fall more than the price of a low duration bond.

If inventory increases or rates rise prices will drop.

Not exact matches

The recent rise in oil prices fueled expectations the Federal Reserve could flag more interest rate hikes at its policy meeting this week.

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.

By contrast, while the cost of older, branded pharmaceuticals continue to rise and contribute to increased spending, when discounting is considered, prices of these drugs increased, on average, 2.8 % in 2015, the lowest growth rate in years.

Instead, the crucial levers would be productivity (keeping the cost of shipping each carload in check through smart investments to increase the average speed, length, and reliability of trains) and pricing (ensuring that rates consistently rose far faster than costs).

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.

On the economic front, the U.S. consumer price index rose a slight 0.3 per cent in December, translating into an annualized rate of 1.5 per cent.

Ultra-low interest rates and rising housing prices have allowed consumers to binge on borrowed money — including from friends and family

Or, do the economic positives we hear each day about low interest rates, low unemployment, low inflation, a healthy banking sector, rising real - estate prices, technology improvements, protection of resources, renewable energy and the rise of India — among others — suggest that any downturn or crisis will merely be a short - term market correction, with the kind of economic rebound we saw following the 2008 crisis?

Despite rising debt levels and increasing home prices, Canadians continue to allocate less income toward paying off debt, according to the Canadian Household Financial Health and Consumer Credit Q1 2015 report [paywall] recently published by credit rating agency DBRS.

Futures markets reacted after the jobs data by pricing in the risk of three, or even more, rate rises from the Federal Reserve this year.

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.

When bond rates rise, which they have this year, these stocks tend to fall in price as fixed - income products, which are safer to begin with, become more attractive.

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.

(Bond yields move inversely with bond prices, and rising yields tend to signal expectations of higher growth and inflation ahead and, therefore, higher interest rates.)

With U.S. unemployment fairly low and prices set to rise, the Fed is clearly preparing to raise interest rates more.

Historically, job increases and wage gains have buoyed the housing market and served as an offset to rising mortgage rates, warding off extreme scenarios such as plunging house prices.

According to UBS, certain cities have seen prices rise at rates that are potentially not sustainable - and eight of these financial centers are at risk of having real estate bubbles that could eventually deflate.

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.

Normally, the large U.S. current account deficit should have triggered rising U.S. interest rates — i.e., falling dollar asset prices.

Gas prices are rising at a rate of 1 to 2 percent per year, plus inflation; meanwhile, the cost of electricity generation is going down.

No. 1: Housing doomsayers argue that when interest rates rise from their currently low levels, it'll take away the credit punch bowl and cause house prices to tumble.

Rock - bottom interest rates have lowered mortgage carrying costs, but affordability nevertheless decreases, the faster prices rise out of line with income.

From that date, funding would be capped at the rate of medical inflation, a pace slower than the rise in total health care costs because it considers only prices, not how many visits or procedures folks are consuming.

If, in contrast, the Fed were to raise rates now, before the economic recovery is fully entrenched, house prices might resume declines, the values of businesses large and small would drop, and, critically, unemployment would likely start to rise again.

«Rising rates and a temporarily stronger dollar should bring sufficient headwinds to push prices below $ 1,300 over the coming months,» he added.

China's consumer inflation rate grew at its fastest pace in six months in October as food prices rose, while producer prices accelerated to a near - five year high, exceeding expectations.

While Wolff said they appear to be a «pretty good play» for the next quarter or two, rising energy prices and interest rates are likely to weigh on the airlines.

In this new, rising - rate environment, customers are shunning refis, in part because so many folks already refinanced their homes at great prices.

As interest rates rise, the prices of existing bonds fall in order to make the yield of their fixed coupons competitive in the market.

If this all occurs while rates are rising, which of course means bond prices are moving in the opposite direction, we could surely see a very sloppy bond market over the next year or two.

There's every reason to remain doubtful about the Bank of Canada's ability to keep interest rates low in the face of rising home prices.

Although the added demand for goods and services is inflationary since it will cause a rise in overall prices, the increased demand will also reduce the unemployment rate, as seen in the classic Phillips curve relationship.

«As real long - term interest rates rise, stock prices fall,» but that's probably not the cause of the wild market swings, Greenspan says.

One way for price growth to halt or even fall is for interest rates to rise.

In tandem, if wages do not rise at the rate of house - price growth, then buying a property becomes more and more unaffordable.

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.

A rising oil price is positive for fiscal balances, but it slows long - term reform, says Jan Friedrich, head of Middle East & Africa sovereign ratings at Fitch Rratings at Fitch RatingsRatings.

Every market will react differently to the prospect of rising interest rates, a higher dollar and lower energy prices, he warns.

Gasoline prices in June rose by their highest rate in four months, fueling an overall rise in U.S. consumer prices.

If that homeowner moved to a similarly - priced home but had a 5.5 % rate, their annual payments would rise by $ 3,000 a year, to $ 17,000.

As mortgage rates rise this year, home prices are also expected to keep rising, albeit at a slightly slower pace.

True, farmland prices could fall if interest rates rise and if crop prices decline in big ways, making it difficult for farmers to repay loans.

Long - term interest rates could rise abruptly, as bond prices fall.

«As long as vehicle prices continue to rise, we can expect leasing rates to grow along with them.

And not just as a counterweight to more volatile equities — the steady decline in interest rates since the 1980s caused bond prices to rise, giving their holders» RRSPs a nice tailwind.

Markets are mostly pricing in two more rate rises this year, although some analysts foresee three more increases by the end of 2018.