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Bonds in sentence

2285 examples of Bonds in a sentence

Surprisingly, Eurobonds issued by a Germany-less Eurozone would still compare favorably with those of the US, UK, and Japanese bonds.
In 2005, when the US government was pressing China to allow the renminbi to appreciate, Phillip Swagel, a former member of President George W. Bush’s Council of Economic Advisers, wrote: “If China’s currency is undervalued by 27%, as some have claimed, US consumers have been getting a 27% discount on everything made in China, while the Chinese have been paying 27% too much for Treasury bonds.”
An expectation that interest rates will be high sometime in the next decade should mean high interest rates on long-term bonds today.
From their perspective, today’s high demand for long-term dollar-denominated securities is easily explained: Asian central banks are buying in order to hold down their currencies, the US Treasury is borrowing short (and thus not issuing that many long-term securities), and US companies are not undertaking the kinds of investments that would lead them to issue many long-term bonds.
But for every market mispricing there is a profit opportunity: if long-term interest rates are, indeed, too low and long-term bond prices too high, investors will short long-term US bonds, park the money elsewhere, wait for bond prices to return to fundamentals, and then cover their short positions.
The dollar will fall and US long-term interest rates will rise, but only when traders on Wall Street and elsewhere decide that holding dollars and long-term US bonds is more risky in the short run.
The predictable side effect of quantitative easing (QE) – that is, the purchase of domestic bonds – by the BOJ and the ECB has been the depreciation of the yen and the euro.
All, that is, except for a few holdouts who bought up the remaining bonds on the cheap and went to court, specifically to the US District Court of the Southern District of New York, asking to be paid in full.
Griesa, for his part, showed no compunction about upending a financial order in which market-based exchanges of old bonds for new ones are used to restructure the debts of countries unable to pay.
Others suggested that Argentina might issue bonds under European – or even domestic – law.
As for borrowing in European currencies, Griesa was quick to declare that his rulings would cover such bonds as well.
Because new contractual provisions are not easily retrofitted into old bonds, it will take years before the clauses are included in the entire stock of debt.
By 2015, according to this logic, politicians will have done nothing to raise taxes and very little to cut expenditure, so the US will still have a budget deficit of around $1 trillion, and will finance a substantial portion of it by selling government bonds to foreigners.
If there were no longevity risk – that is, if the probability of dying at each age in the future were reliably known – then pension funds could easily offer life annuities to large numbers of people by investing their assets in bonds of various maturities in order to pay out just the right amount each year.
The bonds, with a maturity of 25 years, pay out an annual sum of £50 million multiplied by the percentage of the English and Welsh male population aged 65 in 2003 that is still alive in a given year (subject to a slight data lag).
For example, if 80% of the men are still alive ten years after issuance, the bonds will pay out £40 million.
If only 40% of the men are still alive after twenty years, the bonds will pay out £20 million.
BNP Paribas hoped to place the bonds with UK pension funds, but so far the issue has not been fully subscribed.
Moreover, it is not clear that the EIB can get further help from reinsurers in managing the risks it assumes by issuing such bonds because reinsurers do not yet see how they can fully hedge the risks involved.
The slow launch of longevity bonds ultimately reflects a fundamental question: can we genuinely reduce the impact of longevity risk?
There is virtually no history of the price behavior of longevity bonds, so discovering their buyers and sellers, and the prices that clear the market, will take some time.
But longevity bonds, while only experimental today, will eventually become vitally important to the world economy.
In China, the government holds safe bonds as a hedge against a future banking crisis and, of course, as a byproduct of efforts to stabilize the exchange rate.
Meltdown fears, even if remote, directly raise the premium that savers are willing to pay for bonds that they perceive as the most reliable, much as the premium for gold rises.
Making matters worse, central banks routinely deny responsibility for any prices other than consumer prices, ignoring that the value of money is reflected in all prices, including commodities, real estate, stocks, bonds, and, perhaps most important, exchange rates.
And they propose green bonds and public investment banks to finance new infrastructure and jobs at a time when world interest rates are low and demand is depressed in many countries.
American investors who sell bonds to the Fed will want to diversify the dollars that they receive from it.
One form of that diversification is to buy foreign bonds and stocks, driving up the value of those currencies.
In particular, since the European Central Bank has clearly rejected quantitative easing, investors will want to buy euro bonds issued by Germany and other European countries that are not in danger of default.
Investors in the US and other countries cannot buy either renminbi or renminbi-denominated bonds in the way that they can buy other currencies.
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