Sentences with phrase «substantial interest rate»

For instance someone locked into a fixed mortgage might look at refinancing when market conditions result in a substantial interest rate decline.

While the portfolio of high yield bonds may offer additional return potential, high yield bonds are subject to substantial interest rate risk.

While the portfolio of high - quality bonds may offer additional return potential, long - term investment grade bonds are subject to substantial interest rate risk.

Conversely, substantial interest rate reductions have been followed by periods of significantly faster growth.

Not exact matches

About the only time interest rates pose a substantial risk of precipitating a crash is when central banks become concerned about overheating in the economy and are willing to provoke a recession to cool things off.

The point is that at near zero interest rates, the U.S. has a lot of buffer on this front, so if there is a reduction in the economy, it will be because of a substantial disconnect between supply and demand.

Lyons contrasted the previous government's approach to that of the Bank of England, which prepared substantial contingency plans to deal with any market fallout from the initial shock of the referendum outcome, and then quickly implemented a sweeping programme of new monetary easing, cutting interest rates to a record low of 0.25 %, and extending quantitative easing.

«To have the lack of more substantial wage gains at this point probably helps to alleviate some of the immediacy on the four - interest - rate - hikes - in - 2018 question,» said Hamrick, the Bankrate.com analyst.

In addition, low interest rates minimize the cost to the United States of our substantial negative net debt position.

First, substantial direct or indirect wealth transfers from the state sector to Chinese households will unleash a surge in household consumption as household income rises (and because the interest on bank deposits is an important source of income for most middle and lower middle class households, if the authorities reduce interest rates, as struggling borrowers are demanding, China actually moves in the wrong direction).

In Australia, the lifting of interest rates and credit controls, and increased competition from foreign banks, contributed to a surge in credit growth, and a substantial increase in risk taking in the financial sector, and in the community generally.

To some extent, stock market action also implies expectations for slower economic growth, though interest rate signals, such as a flat yield curve, are more suggestive of slow growth than stock market action is, and we've yet to see a substantial widening of credit spreads that would suggest imminent recession.

So a further decline in interest rates would be a precondition for acting on any substantial reversal to the upside.

Under these conditions, there is substantial risk that the additional stimulus from larger deficits will lead to higher inflation and interest rates.

I continue to expect that we will gradually increase our exposure to inflation - protected securities and commodities on substantial weakness in these areas, but as inflation pressures are most likely still several years away, our primary concern here is with fresh credit weakness, and that concern still translates into a moderate exposure to interest rate fluctuations.

In my view, the most likely accompaniment to economic weakness would not be a decline in nominal rates, but somewhat accelerated inflation (meaning that real interest rates might very well fall to negative levels), and possibly substantial weakness in the U.S. dollar.

Following an interest - rate hike by the Mexican central bank, the Mexican peso saw substantial gains as the quarter - point increase satisfied market expectations.

Following an interest - rate hike by the Mexican central bank, the Mexican peso saw substantial gains as the

Substantial rises in interest rates, designed to restrain inflationary booms, have been followed by contractions in demand and a reduction in inflation.

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

You can expect the lender to charge substantial late fees and higher interest rates on delinquent loans.

With interest rates still hovering near the lowest levels they've ever been in 5,000 + years of recorded human history, it's very difficult to achieve a significant investment return without taking on substantial risk.

However we are struggling to see what could either seriously dampen inflation expectations or cause a substantial rise in US interest rates, hence why we are very bullish on gold at present.

Wall Street Poised For Sharp Losses Again on Monday US futures are trading back in the red again on Monday, adding to substantial declines seen on Friday when higher interest rate and inflation expectations weighed heavily on stocks.

The refinancing of substantial amounts of Treasury debt in the near term could translate to higher interest - rate volatility in 2018 and 2019.

Park District officials had asked for the loan in June, but City Council members demanded a competitive interest rate and substantial security on the loan.

Park District officials had asked for the loan last month, but City Council members demanded a competitive interest rate and substantial security on the loan.

In the current low - interest rate environment, this issuance provides an opportunity to refund higher - interest bonds and replace them with lower - cost debt, generating substantial future savings to the State of New York.

Defaulting on a loan will cause a substantial and lasting drop in the debtor's credit score, as well as extremely high interest rates on any future loan.

In other words, we are likely to see a greater lift in shorter - term interest rates, with a less substantial rise in long - term rates.

Originally created to regulate interest rates and mortgage terms, the agency allows approved banks to continuously issue loans without putting out substantial capital of its own.

Selling before maturity - CDs sold prior to maturity are subject to a concession and may be subject to a substantial gain or loss due to interest rate changes and other factors.

While U.S. Treasury or government agency securities provide substantial protection against credit risk, they do not protect investors against price changes due to changing interest rates.

It may not seem like a large amount on a month on month basis, but calculated on an annualized rate of interest it can work out to be a substantial amount, that you will be required to pay as a penalty.

In states where rollovers or extensions are allowed, interest rates, and late fees may be added to the original loan amount and that can result in a substantial increase to the amount you will be required to payback.

There are some who are calling for a substantial drop in home prices should mortgage interest rates begin to rise rapidly.

It's also possible to be approved for a mortgage if you have a lower score, but you'll need a substantial down payment and your interest rates will be through the roof, making it all but impractical to keep up with.

FHA loans are government backed mortgages which have lower interest rates but will often require PMI or Private Mortgage Insurance if a substantial down payment is not placed when taking the mortgage.

In states where rollovers or extensions are allowed, interest rates, and late fees may be added to the original cash advance amount and that can result in a substantial increase to the amount you will be required to pay back.

At the other end, high - yield bonds pay a higher interest rate than Treasury securities, but there's a substantial risk that the issuer won't be able to keep up with payments or pay back your principal.

Buydown Lowering of the interest rate and / or monthly payments on debt due to a substantial additional payment while the debt is new.

Big reforms along the lines of limiting the amount college tuition can increase or a substantial decrease in student loan interest rates.

If you're paying back a student loan with an interest rate of 6 % or higher, using a credit card could save you a substantial amount of money.

I'm wondering whether it would be wise to cash in our RSPs and use the after - tax amounts to pay down the mortgage on our investment property, which is substantial right now (and I'm concerned about interest rates going up).

Perhaps the most substantial difference between lines of credit and credit cards is the interest rates they charge.

Prospective participants are encouraged to transfer their high interest credit card balances to new cards with a zero percent introductory interest rate, saving them substantial amounts of money.

For one, the starting interest rate for an ARM is often at least a percentage point lower than a fixed - rate mortgage, which can add up to substantial savings.

Many Americans own a home and have substantial equity, but at the same time are paying credit card debt at a high interest rate, often near or above 20 %.

If the overall savings are greater and the difference in interest rates is substantial, then it would be more appropriate to explore mortgage refinancing further.

The difference for a $ 150,000 loan is substantial: A $ 150,000 mortgage over 30 years at the first rate costs $ 657.59 per month for principal and interest.