Reports on the prediction of an increase in interest rates to lead taxable funds to municipal bonds. Anticipation from taxable fund managers to a municipal asset class to cushion the impact of ascending yields on the price performance of their funds; Strong track record of tax-exempt bonds that...
the central bank might consider further raising the interest rate several times, according to the prediction made by Standard Chartered Bank in its monthly economic review issued on Wednesday.
Forecasts released by the Fed showed policymakers expect two rate rises this year, leaving their median prediction for the target range centred on 0.875 per cent. Notably, however, six of the 17 participants in the most recent meeting thought there may only be scope for a single increase this...
Morgan predicted that export growth in 2008 will be lower than the 27% year growth rate in 2007, but it will still maintain a high level of 16% throughout the year. The prediction is based on the following factors: the relaxation of the US fiscal and monetary policy is expected to stimu...
If fluctuations in expected real interest rates are small, the yield curve contains expectations of future inflation rates. To see why, suppose that you want to know the financial markets’ prediction of the rate of inflation five years from now. If the real interest rate is expected to remain...
and the U.S. If The Bank of Korea freezes the current interest rate at 1.75% at Monetary Policy Committee in January and February and the U.S. increases interest rate of its federal fund (2.25% ~ 2.5%) by 0.25% at FOMC in March, difference in interest rates will increase to 100bp....
a change in interest rates. We tend to express a bond’s duration in terms of years, but it is not the same as the maturity date. Typically, bonds that have the longest maturity dates and the lowest coupons are the most sensitive to interest rate changes – and so have higher durations...
“Beyond this month (August), we are sticking with our prediction of another rate increase in September, at which point the present rate rise cycle should come to an end,” said Andrew Goodwin, chief UK economist for Oxford Economics.
Speaking to the Commons Treasury Committee on Wednesday, the governor also reiterated his prediction thatinflationis likely to be down significantly this winter. But he also cautioned that it may temporarily "tick up" followingthe increase in petrol prices in August and amid concerns over t...
” There are opinions in the market that the Fed's release of a signal to cut interest rates may have seen signs of recession that the market has not paid widespread attention to. However, it is clear that the Federal Reserve will not increase market fears “for no reason”, which is ...