Analysis Topic: Interest Rates and the Bond Market
The analysis published under this topic are as follows.Friday, March 26, 2010
U.S. Treasury Notes Under Pressure With Still More Bear Potential / Interest-Rates / US Bonds
The Technical Trader’s view:
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Friday, March 26, 2010
The World's Next Credit Crunch Is About to Strike / Interest-Rates / Credit Crisis 2010
Tom Dyson writes: One of the largest economies is about to declare bankruptcy.
How do I know? Here's what fund manager Takahiro Kawase had to say…
Thursday, March 25, 2010
What the Fed Does Not Want You to Know / Interest-Rates / Central Banks
Dear reader,
Elliott Wave International have just released a FREE 34-page eBook, Understanding the Fed. It’s the free report the Federal Reserve doesn’t want you to read!
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Thursday, March 25, 2010
U.S. Treasury Bond Yields Advance, Inflationary Pressures Continue / Interest-Rates / US Bonds
After several years of declining bond yields, rates are now starting to climb again. Yields across the US curve are beginning move above previous resistance levels for the first time in over two years. Rising fixed income yields are part of a recovering economy and help to reinforce the future investing outlook of higher inflationary pressures.
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Wednesday, March 24, 2010
Is the IMF to Greece what China is to the U.S.? / Interest-Rates / Global Debt Crisis
If Greece eventually gets funding from the International Monetary Fund (“IMF”), it may not be so different from the U.S. getting its funding from China. There are two main fears in the eurzone against IMF involvement: a perception that Europe can’t solve its problems internally; and the potential influence of the IMF on European policies.
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Monday, March 22, 2010
Bernanke Running Amuck, Trashing History And Threatening America's Future / Interest-Rates / US Debt
Fed Chairman Bernanke is running amuck, and for the first time since the birth of the U.S. dollar, our government is egregiously abusing its power to print money.
Specifically, from September 10, 2008 to March 10 of this year, he has increased the nation’s monetary base from $850 billion to $2.1 trillion — an irresponsible, irrational and insane increase of 2.5 times in just 18 months.
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Monday, March 22, 2010
Investors Chase Risk in Junk Bonds at Fastest Pace Ever / Interest-Rates / US Bonds
Inquiring minds are reading Junk Bonds Selling at Briskest Pace Since 2007.
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Monday, March 22, 2010
U.S. Treasury Bond Market Remains Focused On Inflation Data / Interest-Rates / US Bonds
The bond market improved a point in the long end, as traders focused on what ultimately matters for bonds: the inflation data. As per the comments below, the latest slew of data showed that inflation remains subdued both at the wholesale and retail level. As a result bonds remain well supported regardless of an ongoing relentless rally in equities and other risky assets. Last week the market traded based on the Fed meeting and the inflation data, next week the focus may shift back to the Treasury auctions again.
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Monday, March 22, 2010
BubbleOmics: U.S. Treasuries are Not a Bubble, Federal Debt Target 150% GDP / Interest-Rates / US Bonds
Last September I started jumping up and down crying “US Treasuries are a Bubble – TAKE COVER”.
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Saturday, March 20, 2010
The Dummies Guide To Valuing A CDO: Reference Barnett-Hart’s Thesis / Interest-Rates / Credit Crisis 2010
The “News” over the past eighteen months, is that the people who said that they knew how to do a rating on a CDO (Collateralized Debt Obligation), now say they don’t know how to do that.
And the people who said they knew how to value a CDO, or a RMBS (Residential Mortgaged Backed Security), now say they can’t do that either.
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Saturday, March 20, 2010
Faber Expects U.S. Interest Rates to Stay at Zero Forever (Below the Rate of Inflation) / Interest-Rates / US Interest Rates
"I think interest rates forever in the US will be at zero. By zero I mean below the rate of inflation" Marc Faber told CNBC. A slowing U.S. Economy will be followed by more money printing that will prevent a stock market crash. Eventually Governments will go bust, but before they will go bust they will print a lot of money.
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Friday, March 19, 2010
The Taylor Rule Tool for Predicting Fed Interest Rate Policy / Interest-Rates / US Interest Rates
Bud Conrad, Editor, The Casey Report writes: On March 3, I heard John Taylor over lunch at the San Francisco Federal Reserve. In his talk he reviewed the government’s bailouts and their effects on our economy. If you aren’t familiar with Taylor, he co-authored, along with Bob Hall, the macroeconomics textbook most widely used these days. In addition, he served as undersecretary of the Treasury in the early Bush years where, among other responsibilities, he was tasked with bringing a new currency to Iraq.
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Friday, March 19, 2010
Another Challenge for Government Bonds? / Interest-Rates / International Bond Market
It should be pretty clear that I’m bearish on the bond market. The massive budget deficits and debts we’re racking up should hammer Treasury prices. So should the steadily growing concern about the credit quality of sovereign debts.
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Tuesday, March 16, 2010
The Great Credit Squeeze 2010 / Interest-Rates / Credit Crisis 2010
If you think that the sovereign debt crisis is mostly behind us … that America’s federal deficit is turning into a non-issue … or that we can just go back to business as usual … you’d better consider the drama now unfolding in the hard numbers just released last week:
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Sunday, March 14, 2010
Tison's Fiasco: Your Money's at Risk and You Don't Know It. / Interest-Rates / US Bonds
I walked the streets of Tison's Landing yesterday...
I admired the incredible neighborhood center for the use of residents, complete with soccer fields and the largest, most fully stocked playgrounds for kids I've ever seen.
Tuesday, March 09, 2010
U.S. Treasury Bonds, It's All The Same Trade! / Interest-Rates / US Bonds
One of the frustrating aspects about this market environment is that all assets look like the same trade. Betting on equities is a bet against bonds or vice a versa, betting on bonds is a bet against equities. It is that simple. Consequently, using a tactical asset allocation strategy makes it hard to diversify away my risk as I end up being all in on essentially what has become the same trade.
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Monday, March 08, 2010
Tax Payer Bailed Out Banks Over Charging on Mortgage Interest Rates / Interest-Rates / Mortgages
Last week saw the one year anniversary of the Bank of England dropping its base rate to the historic low level of 0.50%.
During the last year some of the biggest lenders increased competitiveness, while others appear less willing or able to do so.
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Sunday, March 07, 2010
U.S. Treasury Scrambling to Offload Junk Bought During 2009 Bailout Frenzy / Interest-Rates / US Bonds
With global investors attacking any sovereign government that’s running massive deficits or stuck with a pile of bad debts …
And with Uncle Sam obviously the world’s greatest debtor, beggar and fiat money printer …
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Friday, March 05, 2010
Brits Pounded As Debts and Deficits Hit Home. Next the U.S. / Interest-Rates / UK Debt
Boy are things getting ugly in the U.K. The British currency, the pound, is getting crushed. The price of long-term British debt securities, called gilts, is heading down. And the cost of default insurance on the country’s debt is rising steadily.
My takeaway: This is but a preview of what’s to come here in the U.S.
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Friday, March 05, 2010
U.S. Treasury Bonds, Till Debt Do Us Part / Interest-Rates / US Bonds
Millions, billions, trillions. It is hard to wrap your brain around numbers that big, but I think our politicians don’t even bother to try.
On February 1, President Obama released his 2010 budget that projects the U.S. deficit to grow to a record $1.56 trillion, an increase over last year’s record of $1.4 trillion deficit.
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