|Bid||117.00 x 3100|
|Ask||117.25 x 800|
|Day's Range||116.51 - 117.29|
|52 Week Range||116.09 - 129.57|
|PE Ratio (TTM)||N/A|
|Expense Ratio (net)||0.15%|
After closing last week almost flat, the US Dollar Index started this week on a stronger note and gained in the first four trading days of the week. On Friday, the US Dollar Index opened the day on a stable note and consolidated at five-month high price levels in the early hours.
The US Dollar Index started this week on a stable note and gained in the first two trading days of the week. Following a brief pullback on Wednesday, the US Dollar Index opened stronger on May 17 and traded with strength at the highest levels traded since December 2017.
As I wrote this past weekend: "Predicting the Future is an Overrated Trading Strategy". Ironically negative news like trade wars often ends up being a positive catalyst. President Trump has a pattern of making very aggressive decisions and then backing off which causes a positive market reaction.
US bond market yields continue to trend higher, but their overall movement last week was limited. Despite this limited movement, a few takeaways from the week hint at how interesting the bond markets could get in the future. The market’s reaction can be interpreted as investors seeing that the Federal Reserve will stick to its tightening stance in the future and that a change in inflation expectations will drive bond yields.
In this time of uncertainty surrounding the path of interest rates, floating rate bonds can be a good way to reduce benefit from interest rate hikes, without giving up much income today. Three-month LIBOR, the benchmark rate for most FRNs, is at 2.34%, which is high, by historical standards, versus other short-term rates like three-month T-Bills. You could buy bonds of individual companies, though you then need to do the credit work.
The initial reaction of the bond (BND) market to President Trump’s decision to pull out of the Iran nuclear deal was a decline in bond yields across the board. The yields, however, failed to stay at these lower levels and quickly bounced back after President Trump’s speech.
Following a strong performance for three consecutive trading weeks, the US Dollar Index started this week on a stronger note. The US Dollar Index gained in the first three trading days this week. The US Dollar Index started Thursday on a mixed note and traded with weakness in the early hours.
US bond market yields cooled off after hitting a four-year high at the end of April. Bond yields fell after the April employment report was lower than expected. The unemployment rate dropped below 4% for the first time in 20 years, which was the highlight of the report.
Warren Buffett’s disdain for gold is well known. Warren Buffett used an initial investment of $10,000 as an example to demonstrate how buying gold with this amount versus buying a stock or index fund would have generated more returns.
Investors poured into fixed income ETFs in April as equity market volatility jumped with several month’s leading asset-gathering ETFs being bond funds. For example, the iShares Short Treasury Bond ETF ...
After gaining for two consecutive trading weeks, the US Dollar Index started this week on a stronger note and moved to the highest levels traded in 2018 on Wednesday. However, the US Dollar Index started Thursday on a mixed note and traded with weakness in the early hours.
US bond markets were the main focus in a week dominated by earnings. In the previous week, the US ten-year bond yield broke above 3% for the first time in four years. Last week’s reports on the first-quarter GDP and the Employee Cost Index signaled that the Fed could increase rates three times this year, which pushed bond yields higher. By the end of the week, the yield retreated from the higher levels. The euphoria around the 3% mark seems to be declining. Whether the yield is at 3%, 2.96%, 3.1%, the overall trend is important. The trend seems to be tilted towards higher yields. ...
The US Dollar Index surged to 3.5-month high price levels last week and recorded the second consecutive weekly gain. Carrying forward the strength, the US Dollar Index started Monday on a stronger note and traded at elevated levels in the early hours.
What Do March Leading Indicators Signal for the US Economy? The US bond markets were back in focus as the chatter about the yield curve flattening has grown louder in recent weeks. The decision of the US FOMC during its March meeting to increase the Fed funds rate by 0.25% had an uneven impact on the yield curve.
The yield on the 10-year treasury note just hit 3% for the first time since 2014. Remember, bond yields are inversely related to bond prices. For the past few weeks, every time yields inch higher the "risk off" crowd shows up and stock have declined.
Is a 3% yield on the 10 year Treasury that big a deal? Simple. Yes and No. The actual round number of 3% of course means nothing special to the economy. But rates moving to 3% does have several implications. First – We moved really fast from 2.83% on April 17 to now. That means the market was likely behind in inflation assumptions. And a quick move can be a bit jarring to sensitive markets like mortgage and commercial loans.