(Bloomberg) — European bondholders are coming to terms with the fact that this year’s devastating losses may have further to run in 2023. The worst-ever year for the region’s bonds is ending with one of the most brutal sell-offs in months, after a chorus of central bankers warned investors that interest rates will rise more […]
Read More(Bloomberg) — Investment-grade borrowers are expected to bring lots of new offerings next week to complete deals ahead of an anticipated holiday season slowdown. Dealers are calling for $10 billion to $15 billion in new bond sales, as the first full week of December is expected to be the most active period in the month. […]
Read More(Bloomberg) — Goldman Sachs Group Inc.’s traders, on the way to posting their biggest revenue haul in more than a decade, are in for a surprise as cost pressures force the firm’s leadership to cut their year-end bonuses. Executives in the firm’s global markets division were warned this week that its compensation pool will be […]
Read More(Bloomberg) — As the bond market limps toward 2023, it faces the prospect of a final bout of chaos, exacerbated by dwindling trading volume typical during the last weeks of the year. The most punishing time period on record for investors in US government bonds has also been one of the most volatile, with frequent […]
Read More(Bloomberg) — For bond traders, the upward drift of Treasury yields hasn’t been that hard to predict. It’s the short-term swings that are vexing. The world’s largest bond market is being whipsawed by its longest stretch of sustained volatility since the onset of the financial crisis in 2007, marking a stark break with the stability […]
Read More(Bloomberg) — The bond market is bracing for more turbulence as a crucial reading on the still-tight US labor market is set to give traders a chance to reassess the Federal Reserve’s commitment to its aggressive path of interest-rate hikes. Fed officials underscored their focus on the domestic economy in the past few days, even […]
Read More(Bloomberg) — Credit markets are starting to buckle under pressure from soaring yields and fund outflows, leaving strategists fearing a rupture as the economy slows. Banks this week had to pull a $4 billion leveraged buyout financing, while investors pushed back on a risky bankruptcy exit deal and buyers of repacked loans went on strike. […]
Read More(Bloomberg) — A brutal wipeout in a $25 billion bond exchange-traded fund has investors wagering that the worst is over on the eve of a crucial Federal Reserve decision. The price of the iShares 20+ Year Treasury Bond ETF (ticker TLT) has plunged 38% from its August 2020 peak in the biggest drawdown since the […]
Read More(Bloomberg) — Investors who might be looking for the world’s biggest bond market to rally back soon from its worst losses in decades appear doomed to disappointment. The US employment report on Friday illustrated the momentum of the economy in face of the Federal Reserve’s escalating effort to cool it down, with businesses rapidly adding […]
Read More(Bloomberg) — For just a moment Wednesday, so brief that if you blinked you may have missed it, the US Treasury curve inverted to levels not seen since Paul Volcker waylaid the economy with his fight to break inflation in the early 1980s. While you should only read so much into such a fleeting move, […]
Read More(Bloomberg) — The wild ride that bond traders have been on is far from over as market expectations for the longer-term path of Federal Reserve monetary policy appear at odds with the central bank’s own view. Short-dated Treasury yields have alternately plunged and surged in the past few weeks as investors have tried to determine […]
Read More(Bloomberg) — For all the volatility whipsawing the US bond market, traders are showing increasing confidence that the alarm bells warning of a recession will only get louder. The jump in consumer prices in June by another four-decade high reinforced the near-certainty that the Federal Reserve will keep tightening monetary policy aggressively, with markets placing […]
Read More(Bloomberg) — Treasury traders are throwing down the gauntlet to a Federal Reserve that’s fallen further behind in its fight to cool the hottest inflation in four decades. A bruising bond selloff ensued Friday, led by policy-sensitive short-term yields, after May data dashed any idea that inflation has peaked. The rout deepened when traders boosted […]
Read More(Bloomberg) — Bonds in almost every corner of the $63 trillion global debt market are bouncing back as investors begin to see value once again in fixed-income assets. Global investment-grade debt has returned almost 1% in May, the first monthly gain since July, while US Treasuries are heading for their best month since November, according […]
Read More(Bloomberg) — Across Wall Street, from BlackRock Inc. to T. Rowe Price Group Inc., some veterans of the bond market’s booms and busts are seeing signs that it’s safe to start buying again. Few are eager to call the bottom just yet, not with inflation still surging at a four-decade high and the Federal Reserve […]
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