After a torrid rally sparked by the Fed’s announcement in March that it would begin buying corporate debt, investment-grade bonds have stalled near record levels. High-grade spreads soared 150 basis points in March, subsequently tightened by 70 basis points in April and have dropped about 14 basis points so far in July through Friday. With…
Financial technology is not being employed to its best effect, while the coronavirus financial relief effort is struggling. Banks need to innovate and work with fintechs if they are to ensure that the most vulnerable do not get left behind. Source: EUROMONEY At the start of the pandemic, banks scrambled to increase remote capacity to…
Former Wall Street money manager warns of the COVID-19 crisis as one of the biggest insolvency risks in history. Source: Forbes Bitcoin has largely failed to perform as a so-called safe-haven asset during the coronavirus crisis so far—though that could have begun to change. The bitcoin price fell sharply last month amid a broader market…
This high level of corporate debt has made the U.S, particularly vulnerable to sharp downturns in global economic activity. Source: S&P Global Since mid-February, the market has turned sharply down in response to the coronavirus pandemic. The S&P 500® has fallen about 32% from its peak this year. Equity volatility shot up, as VIX® went…
Sustainable and Green Debt are Expected to Rally in the Asian Bond Markets in 2020, said CTBC Bank and MUFG Heads of DCM at the 14th Asia Bond Markets Summit 2019 Last Week Source: The Asset Emerging markets bear more than their fair share of fickle funds flow that often leads to sharp market corrections….
As sophisticated fixed income asset managers are getting smart, Finra wants to get smarter with the use of Machine Learning for Market Surveillance Source: Waters Technology The Financial Industry Regulatory Authority (Finra) is in the process of expanding its use of machine learning for market surveillance as it continues to refine its algorithms to trace…
Bonds might have overreacted on inflation; “Pay Rises, Not Price Rises” Source: Reuters With yields across the developed world in free-fall, markets appear to have convinced central banks that only drastic monetary stimulus can prevent inflation expectations from evaporating for a lifetime. But might those markets be reading it wrong? If so, policymakers in Japan,…
Demand for Chinese convertible bonds rises as fixed income investors look to boost returns Source: Bloomberg Shut out of a world-beating rally in equities, China’s fixed income investors are chasing the next closest thing. The battle for equity-like returns is driving up interest in the country’s nascent convertible bond market. Showing just how coveted the…
Tightening bias from regional central banks lead to substantial outflow in Asian bond markets Source: The Star Foreign flows into emerging Asian bonds turned negative for the first time in four months in January, data from Malaysia and others showed, suggesting that a shift away from a tightening bias for regional central banks is dimming…
Verizon Entering Green Bond Market Fuels Optimism That More U.S. Corporations Will Begin Tapping Into The Growing Pot Of Money Seeking To Invest In Sustainable Projects Source: Bloomberg Verizon Communications Inc.’s billion-dollar entrance into the green-bond market this week is fueling optimism that more U.S. corporations will begin tapping into the growing pot of money…
LONDON, UNITED KINGDOM, ENGLAND, February 27, 2024 /EINPresswire.com/
