Sentences with phrase «yields rise»

Conversely, when yields rise, so do mortgage rates.

To that point, the low investment grade BBB and high non-investment grade BB bonds saw yields rise in the fall.

When the economy is booming and the market is good, big returns can be had by investing in alternatives, and bond prices tend to fall so bond yields rise.

Gwen MacKenzie, vice president of Sperry Van Ness believes people will continue to favor retail REITs even if the stock market stabilizes and T - bond yields rise.

In contrast to grain yields, which tend to rise with distance from the equator and the longer summer growing days, tree plantation yields rise with proximity to the equator and year - round growing conditions.

Nonetheless, the U.N. Food and Agriculture Organization (FAO) projects that as plantation area expands and yields rise, the harvest could more than double during the next three decades.

Malcolm Roberts could be comparing the 1966 - 2001 rise with the years 1695 - 1710 which yields a rise of 1.222 ºC, a faster rise but not very convincingly «greater than the latest warming that finished in 1995» and so apparently not ending in 2001, according to Malcolm Roberts.

Conversely, if real yields rise above 2 %, investors may want to focus more on sell trades.

Even if yields rise sharply, investors can sleep at night knowing that market fluctuation isn't going to take a toll on their hard - earned savings.

This happens when short - term yields rise above long - term yields, for example, after a series of hikes in short - term interest rates to curb inflation.

Thus in normal markets if bond yields rise they become more attractive than risky stocks, so money shifts.

And when Fed funds are rising, the opposite happens — funding rates for those clipping interest spreads rise, and the expectation of further rises gets built in, leading some to exit their trades into longer and riskier debts, which makes those yields rise as well, with uncertain timing, but eventually it happens.

Issuance plummets as yields rise and prices fall for risky debt.

It's predicated on the notion that the Bank of Canada enacts a series of rate hikes over time and longer - dated yields rise as a result.

Because it invests at longer maturities than money market funds, they deliver higher yields than money market funds, except in years worse than 1994, where yields rise rapidly and the yield curve inverts.

Interest rate risk is important because fixed income securities react to changes in interest rates both over the short and long - term that will effect their face value on the open market as yields rise and fall.

The world's major government bond markets are seeing their yields rise (prices fall) as the first month of the new year winds down.

Five year bonds tracked in the S&P AMT - Free Muni Series 2018 Index have seen yields rise by 17bps pushing prices down and recording a negative 0.7 % return month to date.

When their yields rise or fall, it is a sign that financing rates for corporations are changing.

How long can you hold a Treasury Note or Bond, and not suffer a loss in total return terms, if yields rise from where they are today?

Remember that bond yields rise for two reasons: when inflation expectations rise, or when the credit risk of the issuer worsens.

Not only do bond prices fall when yields rise but, when yields are high, taxes and inflation can turn profits into losses in the blink of an eye.

I'd imagine if we get high inflation and the bond yields rise again to double digits, at that time it could be a good idea to buy bonds.

The mortgage rate increases from Canada's biggest lenders come as government bond yields rise, signalling higher borrowing costs for corporations.

Bonds with the longest cash flows will see their yields rise and prices fall the most.

Also, like the Fortune column points out, the thesis that interest rates will inevitably rise, so bonds are a bad idea but stocks are now undervalued because of wide premiums over bonds is seriously flawed because if bond yields rise, it will be bad for bonds but the equity premium will drop as well, so it may not be necessarily good for stocks.

(Bear in mind that as yields rise, prices decline correspondingly.)

The annualized U.S. inflation rate is about 2 %, and until yields rise above that mark, cash in these accounts is losing purchasing power.

If bond yields rise 0.25 % when the Fed is buying 70 % of the bonds and keeping interest rates artificially low, those yields will experience a stratospheric zoom after June 30, when Bernanke's «QE2» bond - purchase program comes to an end.

At the depths of bear markets, both free cash flow yields and funding yields rise considerably, but the FCF yields more so.

Yields rise as prices fall.

So as yields rise, prices decrease.

When Bond Yields Rise, Go Long.

That said, my impression is that the enthusiasm about the economy is most likely misplaced, so we may modestly increase the duration of the Fund if yields rise further.

If inflation expectations are high, then bond yields rise relative to the earnings yield as inflation is theoretically neutral to the earnings yield (both future earnings and the discount rate increase).

Inflation expectations are high, then bond yields rise relative to the earnings yield as inflation is theoretically neutral to the earnings yield.

As an example of a «flattener» trade: «As yields rise, prices fall; as yields fall, prices rise,» the answer helpfully tells the quiz - taker.

«If short - term yields rise while long - term yields fall, a short position in two - year yields and a long position in 10 - year yields is likely to profit, if the curve flattens.»

The reason is that as the economy improves and bond yields rise, stocks will most likely gain a lot of value because companies will be performing better.

Think of it this way: Stock market crashes cause a great deal of stress, but dividend yields rise when stock prices fall.

If both yields rise, the change will generate a larger capital loss for RRbonds because of their larger duration.

Consequently we have seen 10 - year Treasury yields rise sharply from 1.86 % on November 8 to 2.41 % on December 8 (source: Bloomberg data).

As yields rise, bond prices have fallen erasing gains seen earlier in the year.

While the strong economic backdrop and solid interest coverage should prevent spreads9 from widening, it is unlikely they can tighten enough to offset losses if yields rise.

As yields rise, bonds and dividend stocks will likely sell off further.

If market yields rise even modestly, it is going to crush the book values of the mortgage REITs» long - duration mortgages.

Conversely, when yields rise, so do mortgage rates.

That's how much bondholders stand to lose if Treasury yields rise unexpectedly by 1 percentage point, according to a Goldman Sachs Group Inc. estimate.

As bond yields rise, investors are less incentivized to own a dividend paying stock versus a safer bond.

As bond yields rise higher, bonds become more attractive relative to stocks.