interest rates
-
Global Markets
Here’s what the Fed’s rate hike means for borrowers, savers and homeowners
The Federal Reserve raised its target federal funds rate by a quarter percentage point from near zero at the end of its two-day meeting Wednesday. The first increase in the benchmark rate in three years will lay the groundwork for six more hikes by year’s end. “The war in Eastern Europe gives the Fed reason to act more cautiously, but they will still be working…
Read More » -
Global Markets
Are high-yield bonds right for your portfolio? Here’s what you need to know
David Jakle | Image Source | Getty Images If you’re worried about rising interest rates, you may be eyeing high-yield bonds, which typically pay a bigger coupon and may help offset price declines in your bond portfolio. But these assets may also carry more risk, according to financial experts. While market interest rates and bond prices typically move in opposite…
Read More » -
Bonds
Nifty 100 index fund’s the low-cost route to bet on India’s stars
Mumbai: First-time investors looking for a single low-cost passive fund that gives them exposure to the top 100 companies can consider the Nifty100 funds. Given that valuations are rich and interest rates are expected to rise globally and in India, financial planners suggest systematic investment plans to build portfolios. Since the NSE Nifty100 index has 100 stocks, concentration to any…
Read More » -
Global Markets
Inflation is at its highest in 40 years. Here’s how raising interest rates could help
Hass avocados are displayed in the produce section at a United Market on Feb. 7, 2022 in San Anselmo, California. Justin Sullivan | Getty Images The Federal Reserve is set to hike interest rates this year for the first time since 2018 to address the worst inflation in 40 years spurred by the coronavirus pandemic. Consumers already hit with higher…
Read More » -
Global Markets
Here’s where to keep your cash amid high inflation and rising interest rates
Finding a competitive interest rate on your emergency savings has become even more difficult amid record high inflation. But there is good news. The Federal Reserve is expected to begin raising interest rates. When they do, that will kick up the interest you can earn on your cash. Some accounts may be poised to see those increases first. “The online…
Read More » -
Bonds
Debt mutual fund investors can look at these 3 types of MFs with rise in interest rates looming
Don’t get tempted to invest in long-term bond funds now. Synopsis The RBI has not hiked rates, but experts feel investors should stick to short-term debt funds. RBI has chosen to continue with its thrust on supporting economic recovery while ignoring global monetary tightening and downplaying inflation. The RBI took the bond market by surprise in its latest policy review,…
Read More » -
Global Markets
What’s next for global markets after Fed’s recent statement
Fed rate hikes are coming, but the Fed is likely to take a measured approach to avoid sharp market declines in equity and home prices. Bloomberg: From favoring Asian stocks and quality small-cap shares to betting on flatter yield curves, strategists are mapping out their best trade ideas after Federal Reserve Chair Jerome Powell set the stage for raising interest…
Read More » -
Bonds
Corporate bond sales at 6-year low, 2022 may see uptick
Mumbai: Local bond sales by Indian companies plunged to a six-year low despite benign interest rates as higher commodity prices and demand uncertainty in the aftermath of Covid-19 curbs led boards to be rather conservative with capacity expansion. Companies raised about ₹5.65 lakh crore this year, the lowest since 2015, show data compiled by JM Financial. During 2020 corporate bonds…
Read More » -
Top News
Upside potential in gold prices limited, all eyes on Omicron next year; MCX silver may hit Rs 72000 in 2022
MCX Gold may find some support near Rs 46,000 per 10 grams and we may see a limited upside up to Rs 51,000 per 10 grams By Jigar Trivedi MCX Gold, for the first time after 2015, is likely to close the year with negative returns. The world was better prepared to tackle Covid-19 virus in 2021. The Delta variant…
Read More » -
Global Stocks
Stocks rise as U.S. growth outweighs cautious mood
Global stocks advanced with U.S. index futures as signs of a solid recovery in the world’s largest economy outweighed jitters over inflation and a faster tapering of Federal Reserve stimulus. Bloomberg: Global stocks advanced with U.S. index futures as signs of a solid recovery in the world’s largest economy outweighed jitters over inflation and a faster tapering of Federal Reserve…
Read More »