Interest Rates

My Income Investments Are Tilted Towards Rising Interest Rates And Growth

All was well with yield-oriented income investments since early 2014 as Treasury yields fell.<p>In second half of 2016, investors sniffed out economic …

Stocks

German houses are up to 30% overvalued: Bundesbank

FRANKFURT--Houses in Germany's cities are overvalued by as much as 30%, the Bundesbank warned on Monday, adding to fears of a housing bubble in Europe's largest economy after years of ultralow interest rates.<p>Prices for residential real estate rose by 8% last year in 127 cities, up from an average …

Business

MORL Still Attractive With 21.6% Dividend Yield, However, Uncertainty Is Increasing

MORL is one of the few remaining investment securities yielding in excess of 20%.<p>There are significant risks that the enormous MORL total return of …

Stocks

ECB Scouts for Forward Guidance Pitfalls on Road to Stimulus End - Bloomberg

European Central Bank officials are beginning to wonder how they’re going to tell the world when the end of the stimulus era is in sight.<p>A proposal …

Business

Hypomania

"Knowledge is marvelous, but wisdom is even better." - <i>Kay Redfield Jamison, American psychologist</i><p>Looking at the unabated records being broken in US …

Merrill Lynch

The ECB: Governed By Crisis, Ungovernable By Design, Unaccountable Always

The schism between the German member of the Executive Board and the Governing Council illustrates how the ECB is itself a broken political vehicle …

Business

Why I Am Not Ready To Short Bonds Yet

Bond prices have moved significantly lower following the U.S. Presidential Election.<p>Bond prices however, have consolidated at multi-year lows.<p>If …

Stocks

Fed's Mester Says She's 'Comfortable' With Rates Moving Higher - Bloomberg

Federal Reserve Bank of Cleveland President Loretta Mester said she would be “comfortable” with the central bank raising interest rates now as …

Business

PM takes credit for interest rate cut

Prime Minister Malcolm Turnbull is taking credit for an ANZ credit card interest rate cut, claiming it is evidence that his standing committee on …

Malcolm Turnbull

How will President Trump reshape the Fed?

President Trump has an almost unprecedented opportunity to reshape the key personnel and legal basis of the Federal Reserve in the next 12 months, …

Government

10 Best States to Get a Mortgage

It's a good time to buy a home. Accordingto the Mortgage Bankers Association, getting approved for a home loan is easier than it has been at any time in this past decade -- in fact, mortgages are almost twice as available as they were five years ago, and lenders have recently been approving 77% of …

Retirement

The 3 Best Stocks to Profit From Low Interest Rates While They Last

Even with the Fed bumping rates twice in 2016, and multiple rate hikes likely at some point this year, interest rates remain at some of the lowest levels in decades. And those low rates are good for business in a lot of different ways.<p>If you're looking for companies that can capitalize on today's …

Investing

Guessing game on rates may be clarified by minutes

Federal Reserve Chair Janet Yellen told Congress last week that a March interest rate hike is on the table. Minutes of the Fed’s early February meeting could give a better read of the odds it will happen.<p>Although Yellen didn’t tip her hand in testimony before the Senate banking committee, she did …

Business

ECB's Lautenschlaeger: if inflation rise persists, rate hike should come this year | Reuters

BERLIN European Central Bank board member Sabine Lautenschlaeger has said the ECB should raise interest rates before the end of the year if euro zone …

Indian Economy

The long rise in profits is mostly just the flip side of falling interest rates

Here’s a deeply misleading chart:<p>It would appear that the returns to owning capital have grown far in excess of national income. More than a seventh …

Taxes

How to Explain the Divergence of Global Interest Rates

Global bond markets trade on variables such as currency valuations, global fund flows, inflation expectations and monetary policy that can determine the level of interest-rate differentials. Recently these differentials have widened dramatically, specifically in developed markets such as Japan, the …

Business

The Fed Exists As the Barrier to the American Dream

I find myself in the very uncomfortable position of agreeing with the Federal Reserve. Its policymaking body has already voted twice to raise the …

Business

The Fed Should Raise Rates Next Month

Inflation in the U.S. rose in the year that ended in January by 2.5 percent -- faster than expected, and well above the Fed’s target of 2 percent. It was the latest sign that the economy needs a rise in interest rates when the Federal Reserve’s policy-making committee meets next month.<p>Before the …

Authers’ Note: Trump and the bond market

<i>Sign up to receive Authers’ Note daily by email here</i><p>Donald Trump has been remarkably consistent in his first month in office. As he reminded everyone …

Stocks

Struggling European banks see light at end of low-rates tunnel

FRANKFURT/PARIS (Reuters) - Rock-bottom interest rates hurt more big European banks in 2016 than in the previous year, but the worst could soon be over with the prospect of rising borrowing costs rippling from the United States to Europe.<p>Low rates, money printing and a penalty charge for hoarding …

Banking

An 11-Factor Heath, Jarrow And Morton Model For The Thai Government Bond Yield Curve: Implications For Model Validation

This paper and embedded videos compare Thai bond yield movements with government bond yields in the U.S. and Japan. Data used is from the Thai Bond …

Data Science

Yellen Signals Higher Official U.S. Rates

<i>By Joseph G. Carson</i><p>US Federal Reserve Chair Janet Yellen offered an upbeat assessment of the US economy, signaling that further rate hikes are in …

Central Banks

EM Debt 2017: Expect A Wide Range Of Potential Outcomes

<b>Video Transcript</b><p><b>EM Debt 2017:</b> Expect a Wide Range of Potential Outcomes<p><b>Tom Butcher:</b> What does 2017 hold for fixed-income, particularly emerging …

Stocks

The World's Saddest (And Happiest) Countries

Business

Forget Hawks and Doves. Bond Traders Should Fear Lame Ducks

Those who closely watch the Federal Reserve like to classify central bankers in terms borrowed from foreign-policy circles: hawks and doves.<p>Hawks in the world of monetary policy are hyper-focused on keeping inflation suppressed by way of higher interest rates, while doves are driven by their desire …

Janet Yellen

Under enigmatic Patel, Indians failing to read central bank policy

| MUMBAI<p>Denny Jose, a small-town caterer in Kerala, was closely watching the RBI meeting last week.<p>Newspapers and markets were forecasting the Reserve Bank of India would cut its key rate by a quarter of a percentage point. But the RBI held rates and moved to a "neutral" policy stance, signaling an …

Central Banks

Fed's Lockhart Says Yellen Kept Options Open on Rates

Federal Reserve Bank of Atlanta President Dennis Lockhart discusses the Federal Reserve's two percent inflation target, approaching every Fed meeting …

Janet Yellen

Interest rates are too low

It's clear that interest rates are too low in Australia and the United States, and thank heavens some smart bankers are unilaterally lifting mortgage …

Australian News

The Fed Needs To Raise Rates 50 Basis Points In March

We discuss the global inflation problem that first started in financial markets and now is working its way into the global economy in this video. …

Business

Has Russia Stopped Worrying and Learned to Love Hot Money? - Bloomberg

Russia’s central bank has been second-guessed for keeping monetary policy so tight it’s made the ruble a magnet for speculative capital. Now some …

Business