Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Fundsters: Investors Don't Believe the Fed Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, September 17, 2013

Fundsters: Investors Don't Believe the Fed

News summary by MFWire's editors

Bloomberg News reports that bond investors are losing confidence in the Fed's promise to keep benchmark interest rates near zero into 2015 as the economy ramps up.

Where is the evidence? It's in wider price swings for shorter-term securities, Bloomberg News writes. The bond fund king himself, Pimco's Bill Gross [profile], recommended debt with short maturities. JP Morgan [profile] financial models show an end to the central bank's zero rate policy could have a bigger impact on bonds than the spring and summer selloff, Bloomberg News writes.

“There's a bit of a discomfort level being priced into the market,” Erik Schiller, a principal and senior portfolio manager at Prudential Financial Inc. [profile], which oversees more than $1 trillion, is quoted as saying in the article. “Asset purchases have been an emergency measure and we are beyond the need for those measures, and the Fed will try to get more toward traditional policy.”

JP Morgan's model shows that the end of that policy would bring 10-year notes higher by 25 basis points, which JP Morgan argues is already priced into the market, Bloomberg News reports.

To read more, click here

Edited by: Casey Quinlan


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use