09272016Tue
Last update: Tue, 27 Sep 2016 01pm

Managed Funds

Business & Finance - Managed Funds

Japanese bond investors place their hopes, and bets, on a steeper yield curve TOKYO: The Bank of Japan's pledge to conduct a "comprehensive assessment" on the impact of its stimulus measures is raising hopes among Japanese bond investors that the central bank may finally heed their call to modify its heavy-handed stimulus. While there is no consensus on what the BOJ's next step will be, some believe it may lead to a steeper yield curve, which would benefit many investors because it produces bigger capital gains, called roll-down gains, on bonds as they near maturity.The JGB yield curve flattened sharply earlier this year after the BOJ's surprise decision to introduce negative rates caused panic as investors rushed to buy long-dated maturities before their yields fell to what was feared would be below zero.The yield spread between two-year and 30-year bonds, for instance, fell to a record low 0.345 percent in late June from 1.28 percent at the start of year. Historically, the spread ...

Business & Finance - Managed Funds

Portugal's bond yields surge after DBRS warns on rating LONDON: Portuguese government bond yields were set on Tuesday for their biggest daily rise since Britain's vote to leave the European Union, after rating agency DBRS told Reuters pressures were building on the country's creditworthiness. DBRS's view is closely watched because it is the only one of the four agencies recognised by the European Central Bank to give Portugal the investment grade rating it needs to qualify for the central bank's quantitative easing scheme. Portuguese ...

Business & Finance - Managed Funds

US yield curve flattens on Fed's Dudley's remarks NEW YORK: Longer-dated US Treasury yields fell more than shorter-dated yields on Tuesday after New York Federal Reserve President William Dudley told Fox Business Network that the central bank may increase interest rates as soon as September if the economy improves further.The yield difference between U.S. 30-year and five-year Treasuries shrank by more than 1 basis point to 113 basis points, according to Tradeweb, as traders bet short-term rates would rise faster than longer-term bond ...

Business & Finance - Managed Funds

Indonesia sells 18trn rupiah of bonds at auction, above target JAKARTA: Indonesia sold 18 trillion rupiah ($1.37 billion) of bonds at an auction on Tuesday, above the indicative target of 12 trillion rupiah, the finance ministry's financing and risk management office said. The t-bills maturing in May 2017 had a weighted average yield of 5.81434 percent in Tuesday's auction.The weighted average yield for bonds maturing in July 2021was 6.61373 percent, slightly lower than the 6.64090 percent in the previous auction on Aug. 2.Bonds maturing in ...

Business & Finance - Managed Funds

Euro zone bond yields pull away from record lows, firm stocks weigh LONDON: Euro zone government bond yields pulled away from record lows on Monday as rallying equities dented the appeal of fixed income markets, even as weak economic data kept the onus on central banks to provide stimulus to support global growth. World shares traded at one-year highs, while European stocks rose to a seven-week peak on the back of firmer healthcare stocks. Economic data from around the world meanwhile continued to support the case for ...

Business & Finance - Managed Funds

Euro zone bonds stay near record lows on poor economic data from Asia LONDON: Euro zone government bond yields held around record lows as poor economic data from Asia kept the onus on central banks to provide stimulus to kick start the global economy. Japan's second-quarter economic growth fell short of expectations while Chinese activity slowed in July, with investment growing at its slowest pace since the turn of the century, data out on Friday showed.Chinese stocks jumped to a seven-month high amid speculation more stimulus would be ...

Business & Finance - Managed Funds

Euro zone bond yields rise on oil surge, US rate hike prospects LONDON: Euro zone bond yields edged back from record lows on Friday, helped by Thursday's almost 5-percent rise in oil prices and support from San Francisco Federal Reserve chief John Williams for a rise in interest rates this year. Oil was down marginally on the day, but is broadly back at three-week highs on expectations that the OPEC group of exporters will discuss ways to prop up a market that continues to be dogged by ...