Sentences with phrase «yield markets going»

Not exact matches

So, it is a very different market than it was 10 years ago, and you're going to see a lot of corporate bond issuance as these infrastructure projects go out there, and you can capture some pretty good yields and you know what you're buying because it's a corporate bond.
Persistence will remain a key feature of markets going forward, as will the reach for yield, we believe.
In the chase for more return with less risk, one market watcher went yield hunting on the S&P 500.
«If you go back to 1999 and 2007, the yield curve was flattening for a year while the stock market was going straight to the moon, and that's exactly what we're having now,» said Maley.
Additionally, in a bear market, if the fundamentals of a security remain strong but the market price declines, then yields go up.
yields will hit the highs on close end of the day... equity markets setting up to be slammed tomorrow maybe but today they have run over weak shorts in the face of rates... the federal reserve see's this and again will wonder if they are behind on hikes, strong data, major expansion in credit, lack of wage growth rising bond yields and ballooning debt... rates will go much higher and equities will have revelations as to what that means for valuations
For instance, the U.S. high yield market, as measured by the Barclays U.S. Corporate High Yield 2 % Issuer Capped index, experienced its worst start to a year ever, going back to 1994, Bloomberg data yield market, as measured by the Barclays U.S. Corporate High Yield 2 % Issuer Capped index, experienced its worst start to a year ever, going back to 1994, Bloomberg data Yield 2 % Issuer Capped index, experienced its worst start to a year ever, going back to 1994, Bloomberg data show.
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.
This leaves us roughly in the same position that we started the year, slightly overweight to spread product, i.e., investment - grade and high - yield corporate bonds and emerging markets (more recently, we also went back to a slight overweight on commercial mortgage - backed securities).
The good news is that the European Central Bank and the Bank of Japan will continue to pump a fair amount of liquidity into the market, and foreign investors are going to continue looking for yield.
And I think that given higher volatility in the markets, going into higher yielding bonds or stocks, the risker ones, is unadvisable.
Knowing that market predictability is all a guess, all I can really do is diversify my investments among companies that sport safe and reliable yields all the while simply holding and averaging down my cost should prices fall dramatically and make monthly buys no matter what's going on in the world or market.
As you can see in the chart below, one of the portfolio's strengths is the freedom it has to go beyond traditional sources of income and pursue nontraditional income sources — such as ETF exposure to bank loans, preferred stock, and emerging market debt — in order to seek yield.
And since the market is pricing these stocks at the «3 % yield» you mention, the stock price goes up in tandem to price the shares accordingly.
The speech goes on to outline some of the economic surprises that came to pass in the intervening years, including: the «mining boom mark II»; the further significant rise and then subsequent fall in Australia's terms of trade; and the search for yield in global capital markets driven by ongoing ultra-easy monetary policy in the major economies.
The yield on the 10 - year Treasury bond climbed above 3 % for the first time since 2014, but of greater concern to many market participants were remarks in major corporate earnings reports suggesting that business conditions had likely hit their peak and were poised to deteriorate going forward.
Considering the paltry yields in most corners of the fixed - income markets, avoiding commissions for investors looking to reduce interest rate risk by going into funds like (NYSEArca: FLOT), (NYSEArca: ISTB) or (NYSEArca: SHY) will definitely help a lot.
«The proverbial «best house in a bad neighborhood» award goes to US high yield, where we see base case total returns of 5 %,» says Sheets, adding that credit selection should be a source of significant alpha in nearly all global markets.
So with that said, if you know of a problem that a particular industry is going through, and if your financial product can alleviate that problem, that would yield a better return on investment from your marketing campaign.
Spanish ten - year yields yesterday went above 6 %, in a sign that the markets are becoming wary of the seeming complacency of the Spanish prime minister; there is now a sense that he might not apply for a programme before next month's regional election — and maybe not at all;
Composite Treasuries Sentiment: Taking a broader view of bond market sentiment (our composite bond market sentiment indicator combines the signal from futures positioning, fund flows, implied volatility, and global bond market breadth), it's readily apparent that bond market sentiment has seen a reset from relatively stretched bearishness to just on the bullish side of neutral (i.e. the indicator is saying participants have gone from expecting higher bond yields to expecting lower bond yields).
When the market is chasing yield and chasing low quality, we're going to perform well, but less well than the market.
Should our ongoing bull market go from strength to strength, we can anticipate that the yield curve will validate this message by flattening or even rising further, with shorter term yields rising more quickly than longer term yields.
Now we see the real weakness of a high yield portfolio; it all goes well when the market is up... but it goes horribly wrong when the market goes down.
With the Federal Reserve pointing toward three more interest rate hikes this year, money market fund yields are likely to go higher.
Not to beleaguer the ongoing developments in the US Bond markets, but while ten years US yield count on the Greenbacks measuring tape, the unwinding of the USD geopolitical risk premium goes on and price action suggests we should expect... Read more
While most of the market seemed not to notice, seeing as it was fixated on corporate earnings and what's going on in the tech sector, the yield on the T - note surged by 14 basis points last week to close Friday at 2.96 %.
The Fed's go - slow approach to raising policy rates and the Bank of Japan's (BoJ's) encouragement of a steeper yield curve have lifted yields across major bond markets.
But if you are going to try to strategically manage your equity exposure, then watching how investors treat cash at any point in time might be a useful tactic (alongside monitoring dividend yields and the average market P / E).
But in the last few episodes of sharp stock market drops, bonds went up (US government bonds are a safe haven asset and appreciate in crisis periods) so the only thing better than 3 months worth of expenses in a money market fund is having 3 + x months worth of expenses in the bond portfolio due to higher bond yields and negative correlation between bonds and stocks.
And I said, «I wonder if you thought about framing in a different way, you know, whether it's dividend yield or earnings yield, when the market goes down 20 %, 40 %, 50 %.»
And so, there is this big dichotomy I think between what the Fed governors are forecasting in terms of their so - called «dot plot,» where they think interest rates are going to be and where the market is again, saying well, actually we know better, bond yields are always going to stay low.
Our model indicates that going forward, long - term yields will likely be subject to three upward pressures: (1) Our forecasted increase in inflation will boost nominal GDP growth; (2) As forward guidance is replaced by a data - dependent monetary tightening, volatility in short rates will increase; and (3) As the impact of QE on the Treasury market fades, long - term yields will trend back to their historical link with nominal GDP growth.
Even so, that doesn't mean mortgage rates will go up because mortgage rates are more tied to the 10 - year bond yield which has been declining due to all the risk in the markets.
After all, it is the nature of the markets to punish consensus thinking, and I would say that the idea that deflation will persist and that bond yields will go down forever just might be consensus thinking.
Cash is NOT trash... It is a viable / logical investment with a 2 % + yield that allows you to sleep soundly at night and with LIQUIDITY at the ready to deploy if / when markets go kaflooey as the CBs, as you so elegantly put it, continue to «make it up as they go along».
The rise in US yields is thought to be the primary driver behind the USD resurgence, but unwinding of USD short positions, given that CFTC market positioning was at seven years highs, also goes a long way to explain the dynamic shift in USD sentiment.
My last trip to the market yielded the sweetest bunch yet, so I did not want them to go to waste!
The yield on the 10 - year Treasury note is the best market indicator of where mortgage rates are going.
It's also crucial to note that TLT pays a yield of about 4 %, so investors still get a decent return when the market price goes nowhere.
«Dividend yields virtually in every market around the world are in excess of three per cent, which is far in excess of what you're going to get from fixed income or cash.»
For that reason, many looking at carry trading strategies will have to go out over the risk curve and borrow in a cheap major currency in order to buy a higher - yielding emerging market (EM) currency in order to earn a yield beyond that of higher - duration US Treasury bonds (considered safe yield).
So we have a long, long way to go for interest rates to threaten the stock market, at least in terms of the bond - yield / earnings - yield model.
This means that the U.S. stock market is going up while the yield curve flattens!
Maybe rates go low enough that someone relying on them to remain above a certain level gets forced to buy into a high market already, and put in the top for prices, and bottom for yields.
There is plenty of anecdotal evidence for this — just read my previous post about yield on cost, or go to any investment show and ask people if they're beating the market: all of them will say yes.
The moment incremental financing seems less likely or more expensive, companies that will need financing get re-evaluated by the market — stock prices move down, bond yields go up.
In my prior post, I gave an overview of the income options available in today's bond market, going over how much yield was available from different asset classes and how to think about the risks that different bond investments carry.
Financial planner Michael Kitces notes that this is hardly the first time that retirees have faced challenging financial markets, including long periods where bond yields have been low and the stock market has stagnated or gone into a prolonged slump.
Asian markets went into reverse on Wednesday (Apr 25), tracking fresh losses on Wall Street as investors fret about rising US Treasury yields and speculation that interest rates will rise four times this year.
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