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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
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0.70% |
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| S&P/BGCantor US Treasury Bond |
400.09 |
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| Income Equities: |
| 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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Euro Downgrades Muddy the Waters |
BondsOnline, December 6, 2011 – from The Trading Desks today
Back to the drawing board. S&P potential downgrade of the Eurozone’s 6 AAA rated nations puts a damper on the EFSF (European Financial Stability Facility). Bailout funds that are not AAA rated are not exactly in vogue in the current environment especially for Asian investors. No AAA rating and you lose a large investor base. If they are downgraded they will still have AAA ratings from Moody’s and Fitch, but given the uncertainty of the credits, it’s a much tougher call. Like it or not, since the US issues debt in their own currency, as long as we don’t run out of paper and green ink, we can pay it back. It may be in tremendously devalued dollars, and you’ve got to get Congress to agree to pay, but paper & green ink means repayment. For Euroland countries it’s not so simple, there are restrictions. For better or worse, S&P has put pressure on governments’ to address financial issues. Claim you’re serious about debt reduction and then don’t deliver, downgrade. Claim that you have a deal to fix the Euroland? You have been warned, you better come through. The clock was ticking, S&P just sped it up a bit.
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| Stuff to look at |
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S&P Commentary and Newsletters: S&P
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| BondsOnline Advisor |
Income Security Recommendation January 2013 Issue.
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