Entries by Advisors

Rates Moving Higher: Breakout or Headfake?

Last Week: Interest rates were mixed, and equities rose on the week as crowded positioning, diminishing geopolitical and recession fears, and stronger core inflation data helped send US Treasury yields sharply higher. In a rush to the exits from the safety of Treasuries, the 10-year Treasury yield rose 33 basis points, wrapping the week just […]

Trade War to Dog Rates Through Year End

Last Week: Interest rates were mixed, and equities rose in a risk-on rally amid a slightly brighter outlook for US-China trade talks, receding risks of an imminent no-deal Brexit and hopes that tensions in Hong Kong will abate. The yield on the US 10-year Treasury note rose to 1.56% from 1.52%, while 1-month LIBOR fell […]

Is your Floating Rate Loan Really a Fixed Rate Loan?

Change impacts all aspects of life.  This is especially true in capital markets.  Managing an investment portfolio or capital structure isn’t a static exercise, it’s dynamic. Let’s briefly reflect upon the recent turn in market sentiment towards lower interest rates and examine how this change has affected short term, floating rate financing, specifically highlighting a […]

Meet Me at Zero

Last Week: Interest rates and equities fell after a one-two punch from ongoing trade frictions and fresh signs of slowing global growth. The yield on the US 10-year Treasury note declined to 1.54% from 1.70% a week ago, its lowest level in three years, while 1-month LIBOR forged a similar path, falling to 2.17% from […]

Coming to a Central Bank Near You: QE-lite

Last Week: Interest rates were mixed as equities were modestly lower on the week, having recovered some of the sharp losses recorded early in the week. The yield on the 10-year US Treasury note extended its decline to 1.70%, down from 1.86% a week ago, to its lowest level since 2016. The move was also […]