Sentences with phrase «since money market interest rates»

Not exact matches

That was enough to spark a sell - off on bond markets, which drove the interest rate the U.S. government must pay to borrow money to rise to its highest level since October 2011.

Increases on the rate you'll get in a savings or money market account typically lag increases in loan rates — and since most banks have plenty of money in reserves now, they have little incentive to raise the interest they pay.

You probably don't want to let all of that money sit in a money market fund for too long, since the interest rate is not much more than 0 %.

A MYGA with a Market Value Adjustment would increase / decrease the amount of money available upon premature surrender if interest rates have decreased / increased since purchase.

This is especially true since interest rates on completely safe, short - term instruments like money market funds and certificates of deposit are commonly paying less than 1 % per year.

«Many of the investors joining the dividend stampede appear to be motivated by the low interest rates mandated by the Federal Reserve, which have led to a yield famine among traditional income investments like bonds, certificates of deposit and money - market funds,» Zweig writes, adding that others may be chasing performance, since high - yield stocks fared well last year.

While money market accounts are treated as a separate category from high - yield savings accounts, the distinction between the two types has blurred following the decline in interest rates since 2008.

Since the most senior tranche (s) was like a «bucket» being filled with the «water» of principal and interest that did not share this water with the next lowest bucket (i.e. tranche) until it was filled to the brim and overflowing, [24] the top buckets / tranches (in theory) had considerable creditworthiness and could earn the highest credit ratings, making them salable to money market and pension funds that would not otherwise deal with subprime mortgage securities.

«Higher interest rates will cause funding costs to rise for non-banks, since they have to borrow money from capital markets to make their loans,» says Navigant Consulting's Noring.