Equities
in sentence
184 examples of Equities in a sentence
Since January, Russian stocks have lost 16% of their value on the MSCI index, after already trading at a 50% discount in 2013, while Brazilian and Turkish
equities
are up by 13% and 27%, respectively.
Those policies pushed up prices of assets – especially bonds and
equities
– that were held largely by wealthy households.
At the end of the 1980s, however, the yen strengthened, Japanese asset bubbles in real estate and
equities
burst, and Japan’s growth rate plummeted.
But, though the Syriza party’s victory sent Greek
equities
and bonds plummeting, there is little sign of contagion to other distressed countries on the eurozone periphery.
And much attention has been devoted, often in nearby opinion pieces, to the view that hyperactive
equities
markets, particularly in the US and the United Kingdom, push large corporations to focus disproportionately on short-term financial results at the expense of long-term investments in their countries’ economies.
The low level of all interest rates that resulted from this policy drove investors to buy
equities
and to increase the prices of owner-occupied homes.
First, falling labor income implies falling consumption for households, which have already been hard hit by a massive loss of wealth (as the value of
equities
and homes has fallen) and a sharp rise in their debt ratios.
There is no room for an
equities
market.
The boom in the world’s housing markets and stock markets between 2003 and 2006 was caused by this faulty idea, and the idea that investments in homes and
equities
are a sure route to wealth.
The ramifications for interest-rate spreads, emerging-market equities, and housing demand, among much else, are the subject of widespread debate.
If France imposes the tax unilaterally, trading in
equities
and derivatives will simply migrate to Frankfurt.
This was accompanied by credit easing (CE), which took the form of central-bank purchases of private or semi-private assets – such as mortgage- and other asset-backed securities, covered bonds, corporate bonds, real-estate trust funds, and even
equities
via exchange-traded funds.
The aim was to reduce private credit spreads (the difference between yields on private assets and those on government bonds of similar maturity) and to boost, directly and indirectly, the price of other risky assets such as
equities
and real estate.
The low interest rate on long-term Treasury bonds has also boosted demand for other long-term assets that promise higher yields, including equities, farm land, high-yield corporate bonds, gold, and real estate.
As a result, many private firms have turned away from their core business to speculate in the
equities
and property markets.
CAMBRIDGE – Emerging-market
equities
and exchange rates are again under severe downward pressure, but are the underlying economies really as fragile as global traders seem to fear?
Emerging-market
equities
may have plummeted, but this, too, is a shock absorber.
Moreover, in a “risk-off" environment, when investors are risk-averse or when
equities
and other risky assets are subject to market and/or credit uncertainty, it may be better to hold negative-yielding bonds than riskier and more volatile assets.
Until now, Americans have been raking in profits by borrowing cheaply from pliant foreigners and investing the money in high-yield foreign equities, land, and bonds.
A Japanese investor who held dollar
equities
or real estate could instead have offset the exchange rate loss by buying yen futures.
The downside risks to the prices of a wide variety of risky assets (equities, corporate bonds, commodities, housing, and emerging-market asset classes) will remain until there are true signs – towards the end of 2009 – that the global economy may recover in 2010.
Moreover, as we enter the eighth year of aggressive easing, unintended consequences are starting to appear – notably asset-price bubbles, increasing economic inequality (as wealthier investors able to hold
equities
benefit at the expense of small savers), and the risk of higher inflation in the future.
As a result, price-earnings (P/E) ratios, which reflect investors’ enthusiasm for equities, are now high by historical standards (Swiss Re has a Financial Market Excess index, which has returned to its 2007 level).
But this does not appear to be the diagnosis of stock markets, notably in the United States, where
equities
are trading at record-high prices.
But, rather than investing, they used the borrowed money to buy back their own
equities
or purchase other financial assets.
The Uptick’s DownsideRIO DE JANEIRO – Since late last year, a series of positive developments has boosted investor confidence and led to a sharp rally in risky assets, starting with global
equities
and commodities.
Equities, too, are valued at a higher multiple of earnings when interest rates fall.
Another goal of lowering the yield on long-term bonds was to stimulate demand for
equities.
The emerging-market correction in equities, commodities, and fixed-income holdings will continue as global storm clouds gather.
Even before the Fed’s signals, emerging-market
equities
and commodities had underperformed this year, owing to China’s slowdown.
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