Sentences with phrase «term rate increases»

When short term rate increases, long term rates, home mortgages, will soon follow.
More surprisingly though, the bank also eliminated its oft - repeated warning about near - term rate increases.
Yun says it's a sign of the U.S. economy's strength that the Federal Reserve chose to start a process of gradual short - term rate increases late last year.
A lot of companies have already had term rate increases and their 30 year terms are still intact and fairly priced, but will it last.
We expect the Fed to continue a slow, patient pace of short - term rate increases, not because the economy is overheating, but in order to get rates back to more normal levels.
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.
Amidst this backdrop, the 10 - year Treasury yield declined while short term rates increased, causing further flattening of the yield curve.
If the spread between short - term and long - term rates increases, banks will be more profitable.
We're still looking at the tip of the iceberg with Prudential's term rate increase.
Just as happened in 2015, the Federal Reserve waited until December 2016 to make a short - term rate increase.

Not exact matches

Important factors that could cause actual results to differ materially from those reflected in such forward - looking statements and that should be considered in evaluating our outlook include, but are not limited to, the following: 1) our ability to continue to grow our business and execute our growth strategy, including the timing, execution, and profitability of new and maturing programs; 2) our ability to perform our obligations under our new and maturing commercial, business aircraft, and military development programs, and the related recurring production; 3) our ability to accurately estimate and manage performance, cost, and revenue under our contracts, including our ability to achieve certain cost reductions with respect to the B787 program; 4) margin pressures and the potential for additional forward losses on new and maturing programs; 5) our ability to accommodate, and the cost of accommodating, announced increases in the build rates of certain aircraft; 6) the effect on aircraft demand and build rates of changing customer preferences for business aircraft, including the effect of global economic conditions on the business aircraft market and expanding conflicts or political unrest in the Middle East or Asia; 7) customer cancellations or deferrals as a result of global economic uncertainty or otherwise; 8) the effect of economic conditions in the industries and markets in which we operate in the U.S. and globally and any changes therein, including fluctuations in foreign currency exchange rates; 9) the success and timely execution of key milestones such as the receipt of necessary regulatory approvals, including our ability to obtain in a timely fashion any required regulatory or other third party approvals for the consummation of our announced acquisition of Asco, and customer adherence to their announced schedules; 10) our ability to successfully negotiate, or re-negotiate, future pricing under our supply agreements with Boeing and our other customers; 11) our ability to enter into profitable supply arrangements with additional customers; 12) the ability of all parties to satisfy their performance requirements under existing supply contracts with our two major customers, Boeing and Airbus, and other customers, and the risk of nonpayment by such customers; 13) any adverse impact on Boeing's and Airbus» production of aircraft resulting from cancellations, deferrals, or reduced orders by their customers or from labor disputes, domestic or international hostilities, or acts of terrorism; 14) any adverse impact on the demand for air travel or our operations from the outbreak of diseases or epidemic or pandemic outbreaks; 15) our ability to avoid or recover from cyber-based or other security attacks, information technology failures, or other disruptions; 16) returns on pension plan assets and the impact of future discount rate changes on pension obligations; 17) our ability to borrow additional funds or refinance debt, including our ability to obtain the debt to finance the purchase price for our announced acquisition of Asco on favorable terms or at all; 18) competition from commercial aerospace original equipment manufacturers and other aerostructures suppliers; 19) the effect of governmental laws, such as U.S. export control laws and U.S. and foreign anti-bribery laws such as the Foreign Corrupt Practices Act and the United Kingdom Bribery Act, and environmental laws and agency regulations, both in the U.S. and abroad; 20) the effect of changes in tax law, such as the effect of The Tax Cuts and Jobs Act (the «TCJA») that was enacted on December 22, 2017, and changes to the interpretations of or guidance related thereto, and the Company's ability to accurately calculate and estimate the effect of such changes; 21) any reduction in our credit ratings; 22) our dependence on our suppliers, as well as the cost and availability of raw materials and purchased components; 23) our ability to recruit and retain a critical mass of highly - skilled employees and our relationships with the unions representing many of our employees; 24) spending by the U.S. and other governments on defense; 25) the possibility that our cash flows and our credit facility may not be adequate for our additional capital needs or for payment of interest on, and principal of, our indebtedness; 26) our exposure under our revolving credit facility to higher interest payments should interest rates increase substantially; 27) the effectiveness of any interest rate hedging programs; 28) the effectiveness of our internal control over financial reporting; 29) the outcome or impact of ongoing or future litigation, claims, and regulatory actions; 30) exposure to potential product liability and warranty claims; 31) our ability to effectively assess, manage and integrate acquisitions that we pursue, including our ability to successfully integrate the Asco business and generate synergies and other cost savings; 32) our ability to consummate our announced acquisition of Asco in a timely matter while avoiding any unexpected costs, charges, expenses, adverse changes to business relationships and other business disruptions for ourselves and Asco as a result of the acquisition; 33) our ability to continue selling certain receivables through our supplier financing program; 34) the risks of doing business internationally, including fluctuations in foreign current exchange rates, impositions of tariffs or embargoes, compliance with foreign laws, and domestic and foreign government policies; and 35) our ability to complete the proposed accelerated stock repurchase plan, among other things.
BofA reckons that every 1 point increase in short - term rates drives an extra $ 3.2 billion in pre-tax income.
«While the Fed may hike the funds rate to 3.4 %, that increase is unlikely to be matched by a rise in long - term Treasury yields.
Private equity returns remained strong but were lower than the prior year quarter, while income from our fixed income investment portfolio increased due to a higher average level of fixed maturity investments and higher short - term interest rates.
It pointed to the continued presence of fragile fixed - income market liquidity as a key vulnerability in the overall financial system, while it repeats the risks of a sharp increase in long - term interest rates, stress from emerging markets like China and prolonged weakness in commodity prices.
The FOMC will be able to increase short - term rates by raising the interest rate that we pay on excess reserves - currently 1/4 percent.
«Small business owners are seeing the number of alternative sources for financing their companies grow at an unprecedented rate, and while this is a good thing in terms of increasing access to capital, borrower protections have not caught up,» Mills said last month while introducing the borrowers rights bill in Washington.
The Federal Reserve did not help in the process as their response to increasing oil prices and the war in the Middle East was to RAISE the short term Fed Funds rate from 5.50 to over 10 percent.
The Fed ended its latest policy meeting by leaving its key short - term rate unchanged at 1.5 percent to 1.75 percent, the level it set in March after its sixth rate increase...
While both plans would increase the debt ceiling, ratings agencies have said a short - term increase such as the one proposed by House Republicans may not be enough to protect the U.S. from a ratings downgrade.
Earlier in the month, the Federal Reserve raised the funds rate by 25 basis points, its fifth increase since December 2015, which impacts some of the terms by which you borrow money and access credit.
Republicans talk of sparking economic growth rates in the range of four per cent, but models run by non-partisan forecasters, such as the Wharton business school at the University of Pennsylvania, predict only a modest increase over the shorter term.
«Increased losses are emanating from weaker collateral pools in the 2013 - 2015 transactions, which have weaker credit quality including lower FICO scores, higher amounts of extended term loans (over 60 months) and higher LTVs [loan to value ratios],» Fitch Ratings analysts wrote Thursday.
Mr Denny said it was inevitable that there would be a short - term increase in vacancy rates when the new Woodside Building at 240 St Georges Terrace was completed, which at 46,000 sq m will be the third largest building in the CBD.
And it's not just the longer term rates that will increase as the result of this shift to private domestic buyers.
Fitch's warning comes after S&P Global Ratings downgraded China's long - term sovereign credit rating by one notch last week to A + from AA -, citing increasing risks from the country's rapid build - up of credit.
If you depreciate assets at a higher rate in the short term, they'll depreciate slower later on, increasing taxable income.
For example, treasuries often use the BAX contract to hedge their short term borrowings by selling the contract to effectively lock - in a favourable rate in case rates should increase in the future.
The President of the Federal Reserve Bank of Dallas Robert Kaplan said Monday that it would be «wise to move gradually and patiently» with increases in short - term interest rates.
«Beyond the near - term, a return to a more cautious communication strategy and pace of interest rate increases is expected in light of the headwinds facing Canada,» including slow inflation growth, Toronto - Dominion Bank Senior Economist Brian DePratto said in a research note.
And mortgage rates were tied to long - term interest rates, which tend to rise when the economy improves, not necessarily when the Fed increases interest rates.
The assigned rate will become effective after the expiration of the nine - month introductory period unless a default occurs under the Customer Agreement and we elect to increase the rate, or we exercise our right to change the terms of the account.
The Fed left its key short - term rate at 1.5 per cent to 1.75 per cent — the level it set in March after its sixth increase since December 2015 — as it gradually tightens credit to control inflation against the backdrop of a tight labour market and a pickup in consumer prices.
The amount of debt that is projected under the extended baseline would reduce national saving and income in the long term; increase the government's interest costs, putting more pressure on the rest of the budget; limit lawmakers» ability to respond to unforeseen events; and increase the likelihood of a fiscal crisis, an occurrence in which investors become unwilling to finance a government's borrowing unless they are compensated with very high interest rates.
Uncertainty about the U.S. presidential race in the near term may produce periods of volatility for the U.S. dollar, yet RBC maintains that the U.S. currency will post modest gains against the Euro, Canadian dollar and sterling as markets look for a U.S. Federal Reserve policy rate increase in the first half of 2017.
When the Federal Reserve increases short - term interest rates, student loan interest rates will be raised accordingly, however the same is true if rates are lowered.
That said, a few firms observed a tightening in the form of higher borrowing rates, which some associated with the recent increase in US long - term rates.
This action increases the amount of Treasury bills in circulation, thereby creating a greater stock of investible assets for nonbank money market investors — an outcome that tends to put upward pressure on Treasury bill rates and potentially other term money market rates.
It also looks as though the increase in the federal funds rate passed through effectively into term money market instruments.
Also, bills have typically traded below other money market rates during tightening cycles, as they do now; periods where bills trade at or above other rates have been the exception and not the rule.36 Thus, the smaller increase in bill yields than in rates on other term instruments is not surprising, and I do not read it as undermining the general conclusion that the policy rate increase was effective in firming money market conditions.37
In the U.S., the level of trading activity in Eurodollar futures, the main benchmark for short - term rates, did not increase, but the mid-curve options on Eurodollar futures did.
If you opt for an adjustable rate mortgage, your mortgage rate will be low in the beginning of your loan term but will then increase as time passes.
«A fund with a duration of six and a half years will lose principal value of approximately 6.5 percent for every 1 percent increase in long - term interest rates,» Scott said.
They include upwards revisions in economic forecasts, expectation of monetary tightening, rising real and nominal long - term interest rates, fiscal stimulus on a huge scale in a full employment economy, rising protectionism that should choke off import flows, and tax reform directed at reducing capital outflows and increasing capital inflows.
Federal Reserve keeps interests rates where they are, with an upcoming increase likely Short - term interest rates stayed where they were on Wednesday, but the Federal Reserve indicated that it will gradually increase them within the next few months, the Wall Street Journal first reported.
Economic growth has been falling since 2010 and the economy has been operating below its potential since then; employment growth, particularly full time employment growth has struggled; in 2014 only 121,000 jobs were created; employment growth has not kept up with population growth; labor force participation has declined to its lowest level since 2000; long - term unemployment has increased; the unemployment rate remains stuck at just under 7 per cent, and youth unemployment is at 14 per cent; business investment has stagnated; and Canadians are losing confidence in their economic future.
-- > The value of investing in relationships for the long - haul — > Investing in your health and longevity as a way to increase your lifetime earnings — > Why longer life expectancies should change the way you think about investing — > The shockingly low rate of personal savings and investment in the US — > My favorite part of the interview: whether we can reasonably expect the US markets to keep going up at their long - term average 7 % per year after inflation, or whether that was a unique period of US expansion which won't be repeated again.
When the Federal Reserve hiked short - term interest rates on December 16, 2015, it announced that it may make further «gradual increases» when economic conditions permit.
While it remains uncertain whether the rate increase will pass legal muster, by focusing solely on short - term financial consequences rather than long - term growth and innovation, the PUD is shortchanging Washington's citizens by driving new technology businesses away from the state:
However, in August 2011 the long - term sovereign credit rating on the United States of America was downgraded to AA + from AAA by the Standard & Poor's ratings agency, reflecting increasing concerns about the U.S. budget deficit and its future trajectory.
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