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Treasury Bonds

More of the Same

Michael Farr | Posted 06.19.2014 | Business
Michael Farr

As expected, the Federal Reserve stuck to its pattern of reducing asset purchases by another $10 billion. The monthly pace is now down to just $35 bi...

What's Going on With Interest Rates?

Michael Farr | Posted 05.30.2014 | Business
Michael Farr

An aggressive rally in the Treasury market this morning has resulted in the lowest 10-year Treasury yield since June of last year.  Nearly everyone is looking for an explanation as to why longer-term interest rates continue to fall in the face of reduced Fed support and better economic data.  So what is going on?

Tracking Earnings

Michael Farr | Posted 07.19.2014 | Business
Michael Farr

While the overall quality and composition of earnings in the 1Q may have improved somewhat, index earnings growth remains highly dependent on margin expansion.

Economists Are Wrong

Michael Farr | Posted 07.07.2014 | Business
Michael Farr

To boil things down, there are really only two roads we can follow in an environment of such as this. The economy will either muddle along at a sub-par rate of about 2 percent until balance is restored, or we go down the path of running up debt in an effort to produce higher growth rates in the near term.

My Bonds Will Do What When Interest Rates Go Up?

David A. Dedman | Posted 07.02.2014 | Money
David A. Dedman

Most investors own bonds in their portfolios. We buy them for safety and to diversify our portfolios. More and more we are starting to hear about rising interest rates.

Market Noise and Fed Messaging

Michael Farr | Posted 06.16.2014 | Business
Michael Farr

So far this year, the mid-cap banks are outperforming their behemoth cousins, and we now may know why. The big question, though, is how detrimental have these new regulations been to the economic recovery?

Mother Nature Clouds the Outlook

Michael Farr | Posted 04.27.2014 | Business
Michael Farr

How much of the slowing can be blamed on Mother Nature? Nobody knows for sure, of course, but there is enough reason to believe that the brisk pace of growth recorded in the second half of 2013 will not be sustained in 2014.

The VIX Also Rises

Michael Farr | Posted 04.05.2014 | Business
Michael Farr

The more people working, earning income and spending, the greater the economic benefits. The masses move the needle, not the 1% at the top.

China Considers Dumping U.S. Assets

Agence France Presse | Bill Savadove | Posted 01.23.2014 | Business

A US debt default could spur China to diversify its multi-trillion-dollar foreign exchange reserves, the world's largest, analysts say, as Beijing see...

QE Tapering as a Wake-up Call for Emerging Markets

Otaviano Canuto | Posted 01.23.2014 | World
Otaviano Canuto

Emerging markets are not currently as vulnerable as they were in previous moments of global interest rate hikes.

Red Lines

Michael Farr | Posted 09.06.2013 | Business
Michael Farr

The sharp drop in new home sales, weak spending in July, and negative guidance from retailers suggest to us that the recent rise in borrowing costs and energy prices may be starting to take a toll. Will the Fed take this data into consideration?

Fed Driven

Michael Farr | Posted 06.20.2013 | Business
Michael Farr

As the government's role as economic hall monitor is debated and global markets and foreign economies adjust to their own challenges, our focus is on investing in the old-fashioned companies with strong balance sheets, increasing earnings, strong cash flow, and seasoned management teams.

Gorging on Apples

Michael Farr | Posted 05.02.2013 | Business
Michael Farr

The appetite of the fixed income investor is voracious. Apple was the course of the day with the largest issuance of corporate bonds in the history of our republic for $17 billion.

Mark Gongloff

Austerity Alive And Well: U.S. Government To Pay Down Debt For First Time In 6 Years

HuffingtonPost.com | Mark Gongloff | Posted 04.29.2013 | Business

Though you may have heard otherwise, austerity is in full force in the U.S., helping the government pay down debt for the first time in six years. ...

Don't Call It a "Bubble," Call It a "Bernanke"

Alex Frey | Posted 06.15.2013 | Business
Alex Frey

There are rising asset prices and stretching valuations. But not because there's a bubble so much as because there is a Bernanke.

Mark Gongloff

The Economic Indicator Even More Frightening Than The Jobs Report

HuffingtonPost.com | Mark Gongloff | Posted 04.05.2013 | Business

The bond market tried to warn us about March's grim jobs report. And it's still warning us that the economy is not in great shape. Ten-year Tr...

The Myth of Social Security's Insolvency

Fred Lundgren | Posted 04.12.2013 | Politics
Fred Lundgren

It is time for all top wage earners and all the other Social Security mythmakers to put away their bad ideas and silence their propaganda for the real good of America.

The Bond Peril

James Berman | Posted 03.09.2013 | Business
James Berman

People often think of bonds as being low risk. They are lower risk than stocks, but they are still subject to all sorts of different potential problems.

Mark Gongloff

China's Not Panicking About The Cliff And Neither Should You

HuffingtonPost.com | Mark Gongloff | Posted 12.17.2012 | Business

If the fiscal cliff and the oh-so-terrifying federal budget deficit is a reason to panic about U.S. debt, then the message has been slow to reach Chin...

Man Allegedly Makes Sketchy Trades At Goldman, Gets Hired By Another Bank

Reuters | Posted 02.01.2013 | Business

Dec 3 (Reuters) - Morgan Stanley trader Edward Glenn Hadden is under investigation by regulators at CME Group over trades in Treasury futures fou...

Big and Bigger Lies About Bond Fund Managers

Dan Solin | Posted 11.11.2012 | Business
Dan Solin

Most often, investors looking for higher returns from their bond holdings invest in actively managed bond funds. They believe an active bond manager has the investment skill likely to increase returns over the benchmark index, while taking no more risk.

Wall Street's Mouth Watering Over Fed Stimulus Hopes

AP | MARTIN CRUTSINGER | Posted 08.19.2012 | Business

WASHINGTON (AP) — The economy we've got today is more or less the economy we've got for the rest of the year. That's the message from...

I CAN HAZ MOAR STIMULUS NOW?

The Huffington Post | Mark Gongloff | Posted 04.04.2012 | Business

The stock market needs a liquidity fix something awful. For the second straight day, stocks are selling off hard -- harder than they did yesterday,...

Waaahhh, Say Markets

The Huffington Post | Mark Gongloff | Posted 04.03.2012 | Business

Financial markets are throwing a little tantrum today. What's got them all worked up? The minutes of the latest Federal Reserve policy meeting made...

Banks Choose Lending To Uncle Sam Instead Of You

The Huffington Post | Mark Gongloff | Posted 03.12.2012 | Business

If banks are doing so great, then why are they lending money to Uncle Sam instead of to you? U.S. banks bought more Treasury debt and bonds issued ...