Behind the Curve?

Last Week: Interest Rates fell in concert with equity markets continuing their record setting streak. The Dow Jones Industrial Average recorded 10 record daily closing highs in a row as of last Friday, driven higher by investors optimism that US president Trump will cut taxes, reduce regulation and implement a sweeping infrastructure spending program. The […]

In Trump We Trust

Last Week: Interest rates fell while and global equities continued their advance on increasing evidence of improved US economic growth and rebounding inflation. Major US indices again notched record highs during the week, supporting the “In Trump We Trust” feeling of equity markets, though bond yields held steady. Despite the strong data, the yield on […]

Derivative Logic Logo

Solving the Fixed versus Floating Rate Conundrum: Your Roadmap to the Right Decision

In our decades of assisting companies in their management of interest rate risk, we hear one question frequently: “I’m conservative and only borrow at a fixed interest rate. Why should I care about hedging interest rate risk?”. It’s a fact that floating rate debt typically represents a small percentage of a company’s debt load. However, […]

Hope vs. Reality

Last Week: Interest Rates gained slightly and global equities extended gains as reflationary hopes were rekindled by talk of US tax cuts. Major US equity indices all reached record highs late in the week while the 10-year US Treasury floated near 2.43%, little changed from the week prior, and 1-month LIBOR traded slightly lower to […]

Watch & Wait

Last Week: Interest Rates declined while global equities gained on the week amid continued improvement in manufacturing and solid US employment figures. US 10-year Treasury yield fell to 2.43% from 2.50% a week ago, as 1-month LIBOR feel to .7756 from .7800 this time last week. Oil rose to $54.10 per barrel from $53.10 on […]