US companies rush to issue corporate debt, busiest February ever
WASHINGTON, Feb 28 (Reuters) – U.S. companies with the highest credit ratings sold a record $144 billion of debt securities so far in February to get ahead of further potential interest rate hikes, meeting strong demand from investors looking to capitalize on a spike in yields.Investment-grade rated corporate bond issuance in February has been the […]
‘Stubborn’ food inflation leaves U.S. shoppers with slim appetite for other goods
Food retailers benefit from rocketing pricesChoosy shoppers seek discounts on clothing, housewaresHome improvement sales head downFeb 23 (Reuters) – As American shoppers stomach soaring food prices, they are cutting back on purchases of other goods, such as toys, clothing and housewares, in a challenging trend for retailers.Commentary this week from executives at Walmart (WMT.N) and […]
Analysis: Fed’s quandary: Can the economy keep motoring and inflation fall?
WASHINGTON, Feb 21 (Reuters) – A year into the U.S. Federal Reserve’s most aggressive monetary crackdown since the 1980s the strength of the U.S. economy has befuddled policymakers now faced with an unexpected dilemma: Are things too good?There’s little sign the U.S. job market, currently sporting a more-than-half-century low 3.4% unemployment rate, is weakening. Consumers […]
Analysis: Looming U.S. default risk prompts investors to cut some debt exposure
NEW YORK, Feb 21 (Reuters) – Bond investors are starting to trim holdings of U.S. debt to brace for a possible government default that they see as highly unlikely but potentially seismic for financial markets around the world.The U.S. Treasury hit its $31.4 trillion borrowing limit last month. Unless congress raises or suspends that cap, […]
Analysis: Wall Street heavyweights warn of pain ahead despite market’s recent reprieve
NEW YORK, Jan 25 (Reuters) – Some of Wall Street’s biggest names are throwing cold water on expectations that the U.S. economy will scrape through 2023 without a recession, even as hopes of easing inflation and resilient growth propel stocks higher.Banks and asset managers that have reiterated recession calls include BlackRock, Wells Fargo and Neuberger […]
Analysis: Bank of Japan’s yield curve control in danger as policy backfires
BOJ’s hope to buy time with wider yield band backfiresBoard to debate market distortions at Tuesday-Wednesday meetingMany in BOJ prefer to stand pat, some open to tweak – sourcesDec inflation seen hitting 4.0%, more pressure for BOJTOKYO, Jan 16 (Reuters) – The Bank of Japan (BOJ) is under pressure to change its interest rate policy […]