Tag Archives: bonds

A ‘tsunami’ is about to hit the debt market

Tsunami city debt market bonds

A tidal wave may be coming to the bond market, and it’s not going to be pretty. At least that’s the view of Matthew Mish, credit strategist at UBS. To Mish, the elevated rates of default in the commodity sector and high risk bonds are a harbinger of things to come for …

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Cash-strapped Saudi Arabia looking to issue $15 billion in bonds

Saudi Arabia bond sale

Last week the bond market was stunned by the unprecedented demand for sovereign paper issued by the middle-eastern nation of Qatar, which announced it would issue $9 billion in Eurobonds (in three maturities), more than double what had been originally expected by the market, and well below the total demand …

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Former IMF head and bond king both recommend gold over stocks and bonds

Bill Gross Pimco bond king

From Filip Karinja, for Birch Gold Group Kenneth Rogoff, former chief economist for the International Monetary Fund (IMF), Kenneth Rogoff, recently penned a piece in which he recommended that emerging markets diversify their foreign exchange holdings away from the bonds of developed countries and into gold. One of Rogoff’s main reasons for the …

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Stock market set for more volatility as China dumps US bonds

Stock market volatility US

From Filip Karinja, for Birch Gold Group Stock markets around the world faced immense volatility this past week. To begin the week, Wall Street was down 1,000 points on Monday’s opening bell. And trading in the single session was halted 1,200 times alone! In a market that typically only experiences a handful of halts per …

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Alan Greenspan warns of a bond market bubble

Alan Greenspan bond market

From Filip Karinja, for Birch Gold Group Alan Greenspan is ‘quite’ worried about a bond market bubble. In recent years, the bond bubble in the U.S. has been inflated by artificial demand from the Federal Reserve and from investors fleeing troubled European markets. The former Federal Reserve Chairman sees it this way: “The United States, strangely …

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Australia joins list of nations selling bonds with negative yield

Flag Australia

Australia has this week joined the illustrious list of governments that have been able to borrow money at negative interest rates. The Australian Office of Financial Management, which manages the government’s debt programme, sold $200 million of inflation-linked bonds maturing in 2018 to 13 investors on Tuesday at a yield of …

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Japan overtakes China as largest US debt holder

Japan markets

Japan now officially holds more US debt than China, which has been America’s major creditor since 2008. In February Japan held $1.224 trillion in US government bonds compared to China’s $1.223 trillion. Both countries reduced their US debt investment, with China reducing its by $15.4 billion, and Japan by $14.2 …

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Portugal’s largest bank misses bond payment; bond prices collapse

Portugal flag

Brussels, we have a problem. As we warned 6 weeks ago, Espirito Santo International SA – is in a “serious financial condition” according to a central bank driven external audit by KPMG identified “irregularities in its accounts.” Sure enough, the ‘ponzi-like’ maneuvers have left the bank unable to pay its bonds as Bloomberg reports bonds …

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