What the New Fed Chair Means for Interest Rates

Last Week: Interest rates were mixed, and equities traded ever higher amid subdued, holiday-suppressed markets. The 10-year Treasury yield traded lower, falling to 2.34% from 2.37% the week prior as 1-month LIBOR continued to March higher to 1.3376% from 1.2942% over the same period. Oil and Gold rallied as the US Dollar weakened. Market volatility, […]

Flat Yield Curve Conundrum Likely to Persist Through Year-End

Last Week: Interest rates were mixed while equities edged slightly lower amid an uptick in volatility. The US 10-year Treasury yield slipped to 2.35%, while 1-month LIBOR continued its march higher, climbing to 1.2871% from 1.2504% a week ago. Oil and the US Dollar fell as Gold rallied. Market volatility, as measured by the Chicago […]

Tax Reform and Inflation Data to Set Tone for Rates Through Year’s End

Last Week: US interest rates and equities drifted higher, the latter reaching all-time highs at midweek before backing off slightly ahead of the weekend and the former spiking markedly on Friday. Yields on US 10-year Treasury notes rose to 2.38% versus 2.34% a week ago as 1-month LIBOR ended the week at 1.2460% from 1.2442% […]

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A Better Way to Hedge Your Future Term Debt

Now that the Fed seems to be on a consistent hiking path and short-term rates are steadily climbing higher, we’re increasingly asked by borrowers,”How can I lock-in long-term rates today on an expected future financing occurring in six months, one year or beyond?” Sure, long-term interest rates are attractive by historical standards right now, but the borrower’s […]

The Flat Yield Curve: A Growing Disconnect Between Markets and the Fed

Last Week: Interest Rates were mixed as equities set record highs again, both against a backdrop of solid US economic and earnings growth. Yields on US 10-year Treasury notes edged lower, trading at 2.34% versus 2.42% a week ago while 1-month LIBOR traded slightly higher to 1.2432% from 1.2421% the week prior. Oil rose by […]