Do you want to bond with the best?

An investor must mull finer points before choosing government bonds over bank FDs The RBI recently released the features of Retail Direct Gilt Account as part of its (and the government’s) initiative to encourage retail participation in government bonds. The question is: should you invest in government bonds? In this article, we discuss the benefits… Continue reading Do you want to bond with the best?

Attractive Spreads Lure Traders to Belly of India Bond Curve

Indian sovereign bonds with maturities of five-to-seven years are emerging as a favorite for investors, thanks to lucrative spreads. Trading volumes in this segment have surged over the past week as cheaper funding costs help drive demand. Investors are being drawn to the belly of the curve also because short-tenor notes have already rallied in… Continue reading Attractive Spreads Lure Traders to Belly of India Bond Curve

Australia’s Central Bank to Hold as It Enters Eye of the Storm

For a fresh perspective on the stories that matter for Australian business and politics, sign up for our new weekly newsletter. Australia’s central bank passed up buying bonds on Thursday last week in its already reduced QE schedule as the rate it targets appears anchored for now. The calm may prove brief as governments at home… Continue reading Australia’s Central Bank to Hold as It Enters Eye of the Storm

Supercharged Debt Bets Unravel and Expose Wall Street’s Big Risk

For years, regulators have tried to make the financial system safer by blocking banks from taking on the extreme leverage that almost toppled the industry in 2008. Turns out, the risks just moved. In a matter of days, a slew of trades unraveled to expose various forms of soured levered bets at their heart. Citigroup… Continue reading Supercharged Debt Bets Unravel and Expose Wall Street’s Big Risk

White House Mulls New 50-, 25-Year Bonds to Finance Stimulus

In this article We’re tracking the latest on the coronavirus outbreak and the global response. Sign up here for our daily newsletter on what you need to know. The Trump administration is revisiting the idea of issuing ultra-long bonds as it grapples with how to finance a $1.3 trillion fiscal stimulus plan, according to people… Continue reading White House Mulls New 50-, 25-Year Bonds to Finance Stimulus

U.S. Futures, Stocks Advance as Bonds Edge Lower: Markets Wrap

In this article U.S. equity-index futures rose with European and Asian stocks on Thursday as investors weighed the prospects of America removing a scheduled tariff hike on Chinese imports in 10 days. The dollar edged lower. Retail and healthcare were among the leading sectors as the Stoxx Europe 600 Index climbed a second day, although… Continue reading U.S. Futures, Stocks Advance as Bonds Edge Lower: Markets Wrap

Years of Living Dangerously: Japan’s Low-Yield Warning to World

In this article As the world sinks into an era of ever-lower interest rates and a chasm of negative-yielding bonds, Japan’s experience offers investors an invaluable precedent. It’s two decades since the nation pioneered zero rates and more than six years into central bank chief Haruhiko Kuroda’s record stimulus. The money managers who’ve witnessed it… Continue reading Years of Living Dangerously: Japan’s Low-Yield Warning to World

Price of Prudence Is Nothing But Pain as Stock Dips Get Shorter

In this article Dump all of your equities and load up on derivatives. Hide out in short-term government bonds until the coming storm recedes. Toss your position altogether, yet be prepared to jump back into risk-parity quant strategies if the market keeps grinding higher. Advice like this has been blaring forth for months from Wall… Continue reading Price of Prudence Is Nothing But Pain as Stock Dips Get Shorter