Sentences with phrase «yield bonds when»

Many retirees pour their savings into «income investments» like dividend stocks and high - yield bonds when they want to turn their savings into reliable income.

Not exact matches

So, when an economist or bond fund manager makes an accurate forecast about Treasury yields, his or her clients are probably doing very well.

When bond yields rise, the market price to purchase or sell those bonds falls.

When we talk about bond market liquidity it's important to understand that there are lots of different «pools» out there such as high yield bonds, munis, government bonds, etc..

Since the bond market's «flash crash» back in October — when US 10 - year Treasury yields fell 34 basis points, or 0.34 % in one morning — concerns regarding liquidity and how resilient the bond market might be to shocks have lingered around the market.

Last year, when the Fed hinted that it was going to stop buying bonds, tapering its quantitative easing, bond yields jumped nearly 2 % points in just a few days.

It's the total earnings - per - share the market generates as a percent of the market's total value — a measure similar to the yield on bonds, where the yield rises when bond prices fall, and vice versa.

When bond yields rise, investors often start weighing whether stocks are the only game in town for return.

A survey last year by Mercer, a retirement and investment group, revealed that European pension funds would be inclined to raise their bond holdings when average long - term sovereign bond yields reached 2.8 percent.

Historically speaking, when the economy has gotten stronger, the price of Treasury bonds go lower and the yield goes higher.

As I've explained many times before, gold has historically had an inverse relationship with bond yields, performing best when they're moving south.

«According to the higher interest rates and bond yields projected by consensus, the market has started to wonder when the BOE would start raising rates again.

History shows when the benchmark rate for everything in the economy from corporate bond yields to mortgage rates moves by this much, this fast, the stock market struggles in the following months.

«When the Fed was raising rates and bond yields were moving up, traditionally defensives don't do well, and more cyclical stocks tend to do better and financials do better,» he said.

When Grogan has made shifts, which have usually involved purchasing real estate or bond investments, she has financed them either through new savings or by selling stocks that have already yielded high profits.

As a result, bonds, which rise in price when yields drop, had a very good year in 2014.

To be sure, the new generation of savers faces a challenge in building a nest egg when investing choices are bleak: Do they go with risky stocks or super-low bond yields?

On Monday, investors rushed into Treasuries as the S&P 500 and Dow Jones Industrial Average nosedived more than 4 percent - reversing a move on Friday when a spike in bond yields, which move inversely to prices, triggered an equity rout.

When rates rise, the price of older, lower - yielding bonds fall.

Bonds have never been a part of my portfolio given the historical lower yield when compared with equities.

When bonds yield 1.75 % for investment - grade bonds, then it's difficult to turn that into a 5 % -10 % return going forward... If he wants to argue against that, and talk about Dow 5000 and bear and bull markets, then he's welcome to, but he's pushing at windmills in my opinion, and he belongs back in his ivory tower.

The 35 year bull market in bonds most likely ended on July 8, 2016 when the 10 year maturity U.S. Treasury Note yield hit an all - time low of 1.36 %.

Buffett lamented in 2010 that he didn't buy more corporate and municipal bonds during the credit crisis when yields made the securities «ridiculously cheap» compared with U.S. Treasuries.

When savings account rates and yields on government bonds are low, gold suddenly becomes much more attractive to hold as a store of value.

In viewing your chart in one of your other posts regarding the long term returns of long bonds when current yield is under 3 %, why would I want to diversify into almost certain loss, after effects of inflation?

Bond yields drop when prices rise.

When rates rise, bonds drop in value because fixed income buyers prefer investing in new bonds with higher yields.

Yields have an inverse relationship to bond prices and fall when investors flock to a so - called safe haven asset.

When bonds yield 1.75 % for investment - grade bonds, then it's difficult to turn that into a 5 - 10 % return going forward.

Investors often buy those stocks when bond yields are falling.

When the stock market dividend yield yields more than a 10 - year US treasury bond yield, it's generally a good sign to invest in equities.

The latest trend started in July when bond yields bottomed at record lows.

I still think there will be a flight to safety in sovereign bonds when stocks have a bear market but other areas such as high yield and corporate debt could run into some problems.

The retailer has a very decent probability of going into bankruptcy or experiencing further declines, yet the bonds are still yielding 11.4 % when they should be yielding much more given the inherent risk in the position.

Typically, a higher - rate environment will increase spreads for banks / insurers, but you're absolutely right that the 10 - year yield could stay flat, especially when the yields for government bonds of other countries are so low.

When there is a downgrade from investment - grade to high - yield status, this inevitably means managers with mandates permitting only investment - grade bonds will have to indiscriminately liquidate the downgraded bond.

At the same time, some 70 per cent of government - issued bonds are yielding 1 per cent or less, and when you combine the equity / bond value of the 15 largest global markets they've never been more expensive.

The economics of the Voya deal seem even better now than on Dec. 21 when the transaction was announced given the rise in bond yields, Belardi told Wall Street analysts.

When I was a junk bond trader in the 1990s» we referred to anyone who bought a bond yielding over 12 % as «a yield hog.»

Mr. Swaffield has described the «yield hog» chasing strategy that we used to laugh at when I was a junk bond market professional.

When I was a junk bond trader in the 1990's, high yield money would be pulled from the market abruptly and quickly, usually about a week before the stock market would undergo a big sell - off.

Liquidity risk High yield bonds that may have been easy to buy or sell when market conditions were calm can suddenly become very difficult to sell when volatility increases.

However, the reaction of the bond market is another story altogether, with yields on 10 - year Treasuries recently returning to about where they were when this year began.

High - dividend stocks such as utilities and phone companies fell; those stocks are often compared to bonds and they tend to fall when bond yields rise, as higher bond yields make the stocks less appealing to investors seeking income.

If this doesn't underscore that longer - term bond yields don't have to rise when the Fed hikes rates, we're not sure what would.

The REIT that was was attractive with a 5 % dividend yield when the 10 - year bond yield was at 2 % is no longer attractive when the 10 - year bond yield is also at 5 % because the 10 - year bond is risk - free.

The evidence is simply that the 10 - year bond yield is now under 2 %, when it was at over 4 % during the invention of the 4 % safe withdraw rate.

Indeed, that is what happened when US bond yields spiked in mid-2013 (Adrian et al (2013)-RRB-.

Bond yields have actually been falling since July 1, 1981 when the 10 - year yield was at 15.84 %.

When the cost of living has eaten away at government bond yields, investors have tended to seek more attractive stores of value, including gold.