Free Republic 2nd Quarter Fundraising Target: $88,000 Receipts & Pledges to-date: $54,640
62%  
Woo hoo!! And we're now over 62%!! Thank you all very much for your continuing support!

Keyword: bondmarket

Brevity: Headers | « Text »
  • Opinion: Donald Trump is at the center of any stock market prediction for 2017

    01/06/2017 2:48:00 AM PST · by expat_panama · 2 replies
    Market Watch ^ | Jan 5, 2017 1:13 p.m. ET | Howard Gold
    What he and his fellow Republicans in Congress do will largely determine the direction of the economy and equities It’s the New Year and time for pundits and gurus of all stripes to roll out our predictions for 2017. No matter how right or wrong we were in the past, we’ll make this year’s predictions with serene self-assurance. Although Republicans swept the White House and the Congress in last year’s election, politics and policy will likely dominate 2017 even more than they defined 2016. Why? Because last year, except for Great Britain’s vote to leave the European Union, which pummeled...
  • ‘Trump trade’ sparks stampede out of bond funds into stocks

    11/23/2016 7:16:45 AM PST · by Ernest_at_the_Beach · 9 replies
    Marketwatch ^ | Nov 18, 2016 1:07 p.m. ET | Anora Mahmudova
    Weekly bond outflows were biggest since June 2013 The rotation out of bonds into stock postelection is greatest in years The so-called Trump trade that followed the Nov. 8 election victory of Donald Trump sparked the largest outflow from bond funds since the “taper tantrum” of June 2013, with investors piling into stocks, according to flow data compiled by Bank of America Merrill Lynch.In the week ended Nov. 16, investors withdrew $9.06 billion from bonds funds. The money withdrawn from bond funds as well as some of the cash sitting on the sidelines, found its way to equity funds and...
  • Opinion: Why it still makes sense to buy stocks and bonds at record prices

    07/25/2016 4:10:47 AM PDT · by expat_panama · 21 replies
    Market Watch ^ | July 24, 2016 | Philip van Doorn
    Are you tired of stories speculating about when the Federal Reserve will raise interest rates? Maybe it’s time to stop reacting to them, because they can damage your investment portfolio. If you had panicked last year, fearing a change in central-bank policy would drag down prices of bonds and stocks with high dividend yields, you would have missed out on plenty of income and price gains. (The Fed eventually raised rates, in December, but stocks and bonds today are still near record highs.) “The market can make you do things at precisely the wrong time. Staying the course during times...
  • Investors fearing ‘summer shocks’ are hoarding the most cash since 2001

    06/20/2016 3:48:27 AM PDT · by expat_panama · 8 replies
    Market Watch ^ | June 18, 2016 | Sue Chang
    The last time fund managers hoarded this much cash, the Arizona Diamondbacks defeated the New York Yankees 4 to 3 to win the World Series. Today the Diamondbacks and the Yankees are struggling in their respective divisions, and by the amount of cash investors are stocking away, one might think that they fear the global markets are melting down too. Cash positions rose to 5.7% in June from 5.5% in May, the highest level since November 2001... Worries about “‘summer of shocks” stemming from Brexit...   ...prompting managers to stock pile cash... What do you consider the biggest ‘tail risk’? Bank...
  • German 10-year sovereign bond yields turn negative for first time

    06/14/2016 2:23:02 PM PDT · by dennisw · 10 replies
    cnbc ^ | today | Roy Choudhury
    The yield on the 10-year benchmark German bund fell into negative territory for the first time ever on Tuesday morning, amid global growth concerns and jitters over the U.K.'s upcoming referendum on its European Union membership. At around 8.30 a.m. London time, the yield hit zero and briefly fell into negative territory as investors continued to flock to safe-haven assets. Bond prices and yields move in opposite directions and a negative yield implies that investors are effectively paying the German government for the privilege of parking their cash. By the end of the European trading day, the yield was still...
  • Why record low interest rates are a cause for alarm, not celebration

    06/13/2016 1:39:26 PM PDT · by Lorianne · 4 replies
    Telegraph (UK) ^ | 11 June 201 | Jeremy Warner
    UK rates may be at an all time low, but they are even lower elsewhere, particularly on the Continent, where the European Central Bank has been so busy buying up government debt that in Germany and Holland the stock of available bonds has been almost completely exhausted. There is virtually no yield left at all on 10 year German bunds, against which their UK equivalent look positively bountiful. So utterly desperate has this hunger for yield become that there are now an astonishing $10 trillion of government bonds worldwide trading on a negative interest rate. Some corporate borrowers too have...
  • Bill Gross: $10 trillion negative yield 'supernova' will 'explode'

    06/10/2016 12:14:17 PM PDT · by BenLurkin · 15 replies
    CNBC ^ | 06/10/2016 | Jeff Cox
    Bond guru Bill Gross believes the growing global move toward negative yields will have dire consequences. In a tweet from his firm, Janus Capital, Gross goes back half a millennium to assert that the current situation with the world's debt market is unprecedented and dangerous: The warning comes as yields on Japanese government bonds and German bunds hit record lows.
  • Five banks sued in U.S. for rigging $9 trillion agency bond market

    05/20/2016 5:49:11 PM PDT · by Lorianne · 5 replies
    Reuters ^ | 18 May 2016 | Jonathan Stempel
    Five major banks and four traders were sued on Wednesday in a private U.S. lawsuit claiming they conspired to rig prices worldwide in a more than $9 trillion market for bonds issued by government-linked organizations and agencies. Bank of America Corp (BAC.N), Credit Agricole SA (CAGR.PA), Credit Suisse Group AG (CSGN.S), Deutsche Bank AG (DBKGn.DE) and Nomura Holdings Inc (8604.T) were accused of secretly agreeing to widen the "bid-ask" spreads they quoted customers of supranational, sub-sovereign and agency (SSA) bonds. The lawsuit filed in Manhattan federal court by the Boston Retirement System said the collusion dates to at least 2005,...
  • Fed may need more powers to support securities firms during crises: Dudley

    05/08/2016 6:45:20 PM PDT · by Lorianne · 31 replies
    Reuters ^ | 01 May 2016 | Lindsay Dunsmuir
    The U.S. Federal Reserve may need more powers to provide emergency funding to securities firms in times of extreme stress in order to deal with a liquidity crunch, New York Federal Reserve President William Dudley said on Sunday. "Providing these firms with access to the discount window might be worth exploring," Dudley said in prepared remarks at a financial markets conference in Amelia Island, Florida organized by the Atlanta Fed. The discount window is a credit facility through which banks borrow directly from the U.S. central bank in order to cope with liquidity shortages. The Fed currently has limited ability...
  • Squeezed bank dealers quit European government bond markets

    01/24/2016 9:17:21 AM PST · by Lorianne · 3 replies
    Reuters ^ | 21 January 2016 | John Geddie
    rise in the number of banks giving up primary dealer roles in European government bond markets threatens to further reduce liquidity and eventually make it more expensive for some countries to borrow money. Increased regulation and lower margins have seen five banks exit various countries in the last three months. Others look set to follow, further eroding the infrastructure through which governments raise debt. While these problems are for now masked by the European Central Bank buying 60 billion euros ($65.5 billion)of debt every month to try to stimulate the euro zone economy, countries may feel the effects more sharply...
  • What’s next after the market’s biggest bloodbath of the year

    08/21/2015 5:35:39 AM PDT · by SeekAndFind · 20 replies
    MarketWatch ^ | 08/21/2015 | Victor Reklaitis
    The stock market just suffered its biggest selloff in a year and a half, as the S&P 500 turned red for the year and the Dow dived 358 points to show a nearly 5% drop for 2015. In the wake of Thursday’s rout, here are five things that market watchers are tracking as they think aloud about what’s next. 1. Calls for that much-anticipated correction get louder: “Get ready” because a “correction is coming,” warns David Greenberg, president of Schaeffer Greenberg Advisors, in a CNBC commentary piece late Thursday. He argues the market is “tired and there are a lot...
  • US stocks to keep eye on rising bond yields

    06/10/2015 8:23:35 AM PDT · by Citizen Zed · 1 replies
    cnbc ^ | 6-10-2015 | Dhara Ranasinghe
    Trade in U.S. stock futures pointed to a slightly higher open for Wall Street shares on Wednesday, as focus once again turned to rising yields in government bond markets. The yield on the benchmark 10-year Treasury climbed to a new eight-month peak of around 2.47 percent in the European session, pulled higher as the German Bund yield pushed above the 1-percent psychological barrier. In morning London trade, stock futures for the Dow Jones industrial average, S&P 500 and Nasdaq all traded in positive territory. There is no significant economic data due this session.Total weekly mortgage application volume jumped 8.4 percent...
  • The Gathering Bond Storm in Chicago

    05/19/2015 11:00:58 AM PDT · by SeekAndFind · 15 replies
    Economy and Markets ^ | 05/19/2015 | Rodney Johnson
    Recently the bond rating company Moody’s Investor Service cut their ranking of Chicago to junk status. The move ticked off a lot of people in the Windy City who think Moody’s overstated the case. I agree that Moody’s is wrong… not because they went too far, but because they didn’t go far enough. Chicago is not close to bankrupt. It’s completely bankrupt. People are just afraid to say this out loud. The city’s pensions are underfunded by $20 billion. Moody’s gave a rating that reflects how the city is performing. City officials are just angry Moody’s called them out. The...
  • US Treasury to sell US$64 billion in notes, bonds next week

    02/04/2015 7:24:27 AM PST · by Citizen Zed · 10 replies
    Business Times ^ | 2-4-2015
    Complicating the debt-management outlook is possible political wrangling over the debt ceiling after its suspension ends in mid-March. That will require the Treasury to use so- called extraordinary measures to avoid going over the limit until Congress raises it. The department today said it will give clarity at a later date on how long it can go after March 15 before the limit is breached. "Extraordinary measures will allow the government to continue to meet its obligations for a period of time after March 15," Seth Carpenter, acting assistant secretary for financial markets, said in a statement today. "That said,...
  • "World Running Out of Positive-Yield Bonds"

    01/24/2015 8:58:19 AM PST · by Kaslin · 9 replies
    Townhall.com ^ | January 24, 2015 | Mike Shedlock
    In the wake of ECB's €60 billion a month QE madness (see "QE already Working" Says IMF Lagarde; Ho-Hum Details Announced; Gold the Place to Be), one might be wondering what it may do to European bond yields. German 10-Year Bond Yield image: http://3.bp.blogspot.com/-of_KecAryfU/VMKLTNvRyfI/AAAAAAAAcFk/6Kswiqag_hg/s400/German%2B10-Year%2Bbond%2Byield.png click on chart for sharper image Since September of 2013, yield on the German 10-year bond has plunged from around 2% to 0.367%. ECB Risks German Bonds Mismatch Exceeding 100 Billion Euros With €720 billion annual asset purchases, a huge portion of the bonds the ECB buys will be German. Bloomberg explains ECB Risks German Bonds...
  • Rickards: Brace For Financial Storm 6x Larger Than 2008

    01/21/2015 12:09:48 PM PST · by alexmark1917 · 38 replies
    Over the coming months, I believe we could see an economic meltdown at least six times the size of the 2007 subprime mortgage meltdown... The next financial collapse, already on our radar screen, will not come from hedge funds or home mortgages. It will come from junk bonds, especially energy-related and emerging-market corporate debt. The Financial Times recently estimated that the total amount of energy-related corporate debt issued from 2009-2014 for exploration and development is over $5 trillion. Meanwhile, the Bank for International Settlements recently estimated that the total amount of emerging-market dollar-denominated corporate debt is over $9 trillion. Energy-sector...
  • Warning: Bond rates are going negative

    01/15/2015 6:38:42 PM PST · by MeneMeneTekelUpharsin · 57 replies
    CNN Money ^ | 15 January 2015 | Matt Egan
    Investors are so nervous that they are basically willing to lose money when they buy some government bonds. It's part of the latest fad in finance that's all the rage: "going negative." The yields on government bonds in Europe and Japan have dipped into the uncharted waters of negative territory. That means buyers of those bonds are essentially taking a loss just to hold onto those assets. They think their money is better off losing a few cents than putting it elsewhere. "It's basically a fee for fear," said Nicholas Colas, chief market strategist at ConvergEx. "Fear of deflation, fear...
  • 10 Key Events That Preceded The Last Financial Crisis That Are Happening Again RIGHT NOW

    01/08/2015 2:11:17 PM PST · by SeekAndFind · 26 replies
    TEC ^ | 01/06/2015 | Michael Snyder
    If you do not believe that we are heading directly toward another major financial crisis, you need to read this article. So many of the exact same patterns that preceded the great financial collapse of 2008 are happening again right before our very eyes. History literally appears to be repeating, but most Americans seem absolutely oblivious to what is going on. The mainstream media and our politicians are promising them that everything is going to be okay somehow, and that seems to be good enough for most people. But the signs that another massive financial crisis is on the horizon...
  • It's Like We're In The Panic Phase Of A Financial Crisis

    01/06/2015 5:41:10 AM PST · by blam · 23 replies
    BI ^ | 1-6-2015 | Sam Ro
    Sam Ro January 6, 2015Over the past few days, we've seen stocks plummet and oil prices crash. But the most interesting moves have been occurring in the global bond markets where government bond yields have been plunging to historic lows. "2015 starts off with the average of G3 10 year government yields below 1%," wrote Steven Englander, Citi's global head of G10 FX Strategy. The G3 currency group consists of the US dollar, the euro, and the yen. On Tuesday, the US 10-year yield got as low as 1.959% and Japan's 10-year yield fell to as low as 0.288%. In...
  • Capital Flees China - Bitcoin, Hong Kong Dollar, ATM

    08/14/2014 1:36:40 PM PDT · by Kaslin · 5 replies
    Townhall.com ^ | August 14, 2014 | Mike Shedlock
    In response to New Yuan Loans and Shadow Banking Collapse in China; Record Bank Deposit Slump reader "CF" from Hong Kong who works in China explains how he is pulling every cent he can out of renminbi (yuan) , converting instead to Hong Kong dollars. From "CF" regarding his personal "capital flight" experiences ... Hey Mish, I am a reader from Hong Kong who works and lives in China and earns RMB. I never doubted a collapse in Chinese shadow banking would happen. I have been constantly converting my RMB into HKD. Before, I would just take 20,000 RMB (max...