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| BondsOnline.com: instant access to and extensive coverage of over 3.5 million stocks, bonds, indexes and other securities covering major and emerging markets and exchanges across the globe. |
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| Bonds Online |
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| 5/10/2013Market Performance |
| Municipal Bonds |
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S&P National Bond Index
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3.00% |
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S&P California Bond Index
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2.96% |
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S&P New York Bond Index
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3.13% |
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S&P National 0-5 Year Municipal Bond Index
|
0.70% |
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| S&P/BGCantor US Treasury Bond |
400.09 |
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| More |
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| Income Equities: |
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| Preferred Stocks |
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S&P U.S. Preferred Stock Index
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848.03 |
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S&P U.S. Preferred Stock Index (CAD)
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636.26 |
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S&P U.S. Preferred Stock Index (TR)
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1,701.05 |
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S&P U.S. Preferred Stock Index (TR) (CAD)
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1,276.26 |
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| REITs |
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S&P REIT Index
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174.07 |
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S&P REIT Index (TR)
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425.30 |
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| MLPs |
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S&P MLP Index
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2,469.58 |
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S&P MLP Index (TR)
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5,428.50 |
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See Data
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Why is the bond market rallying?
Commentary: Investors still focused on return of capita |
MarketWatch - June 10, 2011 - By Brian Edmonds
NEW YORK (MarketWatch) — Many thought this was the year U.S. interest rates would surge, due to runaway deficits and destructive inflation caused by easy-money Federal Reserve policies.
But the Treasury market has staged an impressive rally across the yield curve since January, and five-year interest rates have moved lower by almost 90 basis points to a yield of close to 1.50.
With core inflation running somewhere between 1.5 percent and 2 percent — and fears that inflation could ratchet higher with continued easy money — we now see investors essentially willing to lend five-year money to the government at rates lower than current inflation.
There really is no simple answer to this odd set of circumstances. It’s a combination of factors, including a weakening global economy, Fed purchases through QE2 and continued issues with European sovereign debt. Meanwhile, many are now unwinding bets they made that would have profited from rising interest rates, which the Fed keeps postponing.
The U.S. economy is clearly weakening, with disappointing numbers across the board in housing, employment and manufacturing. The global economy is sliding as well, with eye-opening soft economic numbers starting to come out of Asia.
U.S. bond bulls point to the Japanese market, where rates have remained stubbornly low for decades even in the face of massive deficits and huge amounts of government borrowing. This has created losses for many who have shorted Japanese bonds, just like those who have shorted U.S. bonds. While there are similarities in the two markets, there are also some important differences:
Most notably, Japan finances almost all of its debt internally, with less than 10% of its government bonds bought by foreigners. By contrast, the United States relies on foreign investors to purchase almost 50% of U.S. issuance, at least when the Fed is not purchasing bonds through quantitative easing.
For the complete article.
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| Stuff to look at |
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| BondsOnline Advisor |
Income Security Recommendation January 2013 Issue.
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