Sentences with phrase «short tightening cycle»

While the Fed has verbally committed to a shallow and short tightening cycle, interest rates are still likely to rise.

Not exact matches

You could make the argument while their was less short - term volatility at the time, the greater long term systemic instability occurred after after the late 90's and 04 - 2006 tightening cycle.

In previous episodes, long yields tended to rise in the early stages of a tightening cycle at least as much as the rise in short rates, reflecting inflation concerns.

When the Fed does get closer to its dot - plot tightening cycle for short - term interest rates, I'll be there backing up the truck.

One more note: I believe gradualism is almost required in Fed tightening cycles in the present environment — a lot more lending, financing, and derivatives trading gears off of short rates like three - month LIBOR, which correlates tightly with fed funds.

Fed tightening cycles often start with a small explosion where short - dated financing for thinly capitalized speculators evaporates, because of the anticipation of higher financing rates.

One more note: I believe gradualism is almost required in Fed tightening cycles in the present environment — a lot more lending, financing, and derivatives trading gears off of short rates like three - month LIBOR, which correlates tightly with fed funds.