…rose and bond prices fell in 2013, so it was all too easy to say that the trend would continue into 2014. Instead, interest rates fell and bond prices rose,…
…stiffed (and not the Germans). This protection highlights one of the key difficulties that the Europeans face: their underlying differences. In the US, we can say that Texans are different…
…future cash flows or implied discount rate. The authors of the Credit Suisse article use present values and estimates of cash flow to determine a discount rate, which is interesting…
…next to nothing! It makes the low rates in the US look positively smashing. Of course, I have cherry picked the rates that I put on the chart. You could…
…it wouldn’t be a surprise to see troubles in other developed periphery countries like Spain and Italy or in emerging markets overall. Given that stock market valuations in the US…
Long-term interest rates have moved up swiftly in recent weeks. On April 20th, the 10-year German government bond had a yield of 0.06 percent. Around that time, I couldn’t stop…
…not necessarily the exchange rate, but the belief in the entire system. Having countries simply come and go from a currency would undermine the creditably of the entire concept. To…
…of the European Central Bank (ECB), the International Monetary Fund (IMF) and the European Commission, the executive body of the European Union. The ‘no-vote’ is a remarkable political win for…
…the option to enter into an interest rate swap and this measures the volatility of those options, but that’s for another day). For the Financial conditions indexes, a reading above…
…the Greek ETF still changed hands throughout the entire period. Here’s a chart that compares the Athens Stock Exchange Composite Index in US dollar terms and the Global X FTSE…
