Sentences with phrase «yield on a corporate bond»

Last week, the average yield on corporate bonds sat around its highest levels since January 2012.
The BAA spread refers to the yield on corporate bonds above the rate on comparable maturity Treasury debt, and is a market - based estimate of the amount of fear in the bond market.
Last week, the average yield on corporate bonds sat around its highest levels since January 2012.
Credit spreads — the difference between the yield on a corporate bond and the yield on a treasury security of similar maturity — can be viewed as a reflection of the risk of default.

Not exact matches

The gap between the earnings yield on the S&P and Baa corporate bonds is over two standard deviations in favour of stocks.
April 26 - U.S. stock index futures pointed to a strong open for the tech - heavy Nasdaq on Thursday as a slew of upbeat earnings from Facebook and Qualcomm helped set aside worries over rising U.S. bond yields and corporate costs.
April 25 - Dow Jones Industrial Average futures erased losses on Wednesday after Boeing reported strong results and forecast, but concerns about rising U.S. bond yields and corporate costs continued to weigh on U.S. stocks.
He's also reducing risk on the fixed - income side, reducing exposure to high - yield and adding Treasurys and some corporate bonds.
Although it is fair to say that the recent uptick in volatility has in part reduced earlier concerns about prolonged low volatility and associated reach - for - yield behavior, it has placed added focus on the resilience of liquidity, particularly in markets, such as the market for corporate bonds, that may be prone to gapping between liquidity demand and supply in stressed conditions.
The assumed discount rate utilized is based on a broad sample of Moody's high quality corporate bond yields as of the measurement date.
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).
We trade all fixed income assets, with a focus on more illiquid situations, from high yield, distressed and investment grade bonds and convertible bonds to public and private corporate securities and leveraged loans.
These steps include: efforts to simplify prospectus requirements for retail vanilla bonds and ease the personal liability of company directors; improving market transparency through the RBA's publication of new measures of corporate bond yields; the lengthening of the government bond curve; and the listing of certain fixed - income securities on the Australian Securities Exchange.
Each fund has a stated objective, generally focusing on a particular sector, such as corporate or Treasury bonds, or broad category, such as investment grade or high yield.
Other bond funds focus on a narrower mix of bonds, such as a short - term Treasury fund or a corporate high yield fund.
Other bond funds focus on a narrower slice of the bond market, such as a short - term Treasury fund or a corporate high - yield fund.
Last week, spreads on the Morningstar Corporate Bond Index, an investment - grade corporate bond gauge, and the BofA Merrill Lynch High Yield Master Index, shoCorporate Bond Index, an investment - grade corporate bond gauge, and the BofA Merrill Lynch High Yield Master Index, shot higBond Index, an investment - grade corporate bond gauge, and the BofA Merrill Lynch High Yield Master Index, shocorporate bond gauge, and the BofA Merrill Lynch High Yield Master Index, shot higbond gauge, and the BofA Merrill Lynch High Yield Master Index, shot higher.
Y represents the current yield on AAA corporate bonds.
Spreads between yields on US Treasury securities and corporate bonds have widened noticeably.
The iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD), the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) and the iShares Core U.S. Aggregate Bond ETF (AGG) all made an appearance on the outflows list.
Floating - rate * The coupon on a floating - rate corporate bond changes in relationship to a predetermined benchmark, such as the spread above the yield on a six - month Treasury or the price of a commodity.
Central bank purchases, investor yield - seeking and safe - haven flows have driven down yields on government and investment grade corporate bonds.
Moreover, the yield on industrial bonds in the Dow Jones Bond Average continues to rise, further widening the risk premium on corporate debt.
The average investment - grade (high - yield) bond trades on less than 32 % (36 %) of days over the prior six months — liquidity in corporate bonds was considerably lower than in traditional listed equity markets.
Yields on high - yield corporate bonds narrowed (centre panel) and record low government bond yields pushed up valuations of risky assets (right - hand pYields on high - yield corporate bonds narrowed (centre panel) and record low government bond yields pushed up valuations of risky assets (right - hand pyields pushed up valuations of risky assets (right - hand panel).
For example, investors might use the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) to gain access to greater credit risk through an ETF focused on bonds rated BB and B, and the iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) to gain access to less credit risk through an ETF focused on bonds rated A and BBB.
While yields on government bonds remain unattractive, according to Stopford, investment - grade corporate bonds offer a modest pickup in yield — and high - yield bonds, a more significant advantage.
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.
On average, high - quality corporate bonds currently have yields that are at least one percentage point higher than Treasury bonds.
And on the list of possible investments are also high yield corporate bonds and, perhaps, some emerging market sovereign bonds.
Van Eck adds another yield - generating ETF, this one focused on emerging market corporate junk bonds.
In recent months, the yield on US corporate bonds, especially investment - grade securities, is a little more than 100 basis points compared to the yield on government debt, dropping within striking distance of the lows seen post the 2008 financial crisis.
Any significant rise in corporate bond yields would throw cold water on a key artificial impetus in the stock market — corporations borrowing heavily to buy back their own stock.
With the exception of the very front end of the yield curve, Canadian government bond yields declined, as did spreads on investment grade corporate bonds.
Floating - rate loans have yields and volatility similar to high - yield corporate bonds, with one major difference: As their name indicates, their interest rates «float,» adjusting periodically based on a benchmark rate, typically the London Interbank Offered Rate (LIBOR).
While spreads between yields on highly - rated corporate bonds and government bonds have remained above their historical averages, this continues to reflect strong demand for Commonwealth Government bonds rather than concerns about corporate credit quality.
The continuing low level of government bond yields has supported the search for yield that has been evident over the past couple of years, with the spread between yields on US government debt and yields on both corporate and emerging market debt remaining around historical lows over the past three months (Box B).
Spreads between corporate bond yields and swap rates and the premia on credit default swaps have fallen slightly over the period, and are very low by historical standards (Graph 44).
For example, one source found that, on average, high - yield corporate bonds trade fewer than half the days each month; meanwhile, the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) trades millions of shares eachyield corporate bonds trade fewer than half the days each month; meanwhile, the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) trades millions of shares corporate bonds trade fewer than half the days each month; meanwhile, the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) trades millions of shares eachYield Corporate Bond ETF (HYG) trades millions of shares Corporate Bond ETF (HYG) trades millions of shares each day.
Yet we believe another milestone is of far greater significance to investors: Yields on short - term U.S. investment grade (IG) corporate bonds also hit 3 % — an eight - year high.
As seen in prior cycles, changes in short - term interest rates alone had yielded little effect on financial conditions, as buoyant risk sentiment strengthened equities, corporate bonds, as well as various forms of «esoteric» investments.
Depending on your risk tolerance and familiarity with individual corporations, now could be an opportune time to consider high yielding corporate bonds as part of your investment portfolio.
After reaching a year - to - date low Option Adjusted Spread (OAS) of 378 bps on May 8, the spread for the S&P U.S. Issued High Yield Corporate Bond Index reversed direction.
The credit spread is the yield the corporate bonds less the yield on comparable maturity Treasury debt.
Yields on both have increased this year, with the corporate bond yield breaking above 3 % and Treasury yield rising to just shy of 2.5 %.
Abstracting from changes in the composition of corporate bond indices, spreads between yields on government and corporate bonds have shown a small net decline over the past three months (Graph 48).
The average yield on the iShares iBoxx InvesTop High Yield Corporate Bond (AMEX: HYG) exchange - traded fund has dropped around 10 % in that peyield on the iShares iBoxx InvesTop High Yield Corporate Bond (AMEX: HYG) exchange - traded fund has dropped around 10 % in that peYield Corporate Bond (AMEX: HYG) exchange - traded fund has dropped around 10 % in that period.
Growth in U.S. real GDP would fall 2.7 % over the three years that follow a vote, with a corresponding decline of 13.1 % in U.S. equities and a contraction of 0.53 % on the yields in U.S. corporate bonds.
He lost money because a lot of other funds have made money gambling on corporate junk bonds that are yielding about 6.5 % now.
Spreads between yields on highly - rated corporate bonds and government bonds rose slightly over the past three months (Graph 54).
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