“The bill has come due”

“The bill has come due”

The ignominiously fast downfall of UK Prime Minister Liz Truss is a warning sign for the US and policymakers around the world: Deficits matter again. Why it matters: Investors who are selling bonds in order to register their disapproval of policy choices are calling the shots on Wall Street and in the global halls of … Read more

Bank of England says pension funds were hours from disaster before it intervened

Bank of England says pension funds were hours from disaster before it intervened

Buses pass in the City of London financial district outside the Royal Exchange near the Bank of England on 2nd July 2021 in London, United Kingdom. Mike Kemp | In Pictures | Getty Images LONDON — The Bank of England told lawmakers that a number of pension funds were hours from collapse when it decided … Read more

Stocks or bonds? Here’s where to park your money as recession fears ratchet up – National

Stocks or bonds?  Here’s where to park your money as recession fears ratchet up – National

Almost a quarter of Canadian investors said in a recent survey that they’re thinking of cashing out their stock investments after a rough year for the markets and rumblings of a possible recession. But experts are cautioning against rash decision-making in the heart of a downturn. Results from an online survey for price and rate … Read more

The S&P 500 falls to a fresh low for the year. Here’s where stocks may go next

The S&P 500 falls to a fresh low for the year.  Here’s where stocks may go next

The S&P 500 broke below its June low, and Wall Street is debating whether the sell-off is nearing an end or is more pain in store for investors. The S&P 500 briefly fell to 3,623 Tuesday, a new bear market low, below its June intraday low of 3,636. The market continued to test that level … Read more

As stocks and bonds fall, Mohamed El-Erian says to seek alternatives

As stocks and bonds fall, Mohamed El-Erian says to seek alternatives

With stock and bond valuations falling concurrently, investors should be looking to get out of “distorted markets” and seeking alternatives, according to Mohamed El-Erian, chief economic adviser to Allianz. El-Erian has long encouraged investors searching for safe-haven assets to avoid sovereign bonds, which he deemed too highly valued. Indeed, many long-duration bonds across Europe were … Read more

Market jump after Fed hike is ‘trap,’ Morgan Stanley warns investors

Market jump after Fed hike is ‘trap,’ Morgan Stanley warns investors

Morgan Stanley is urging investors to resist putting their money to work in stocks despite the market’s post-Fed-decision jump. Mike Wilson, the firm’s chief US equity strategist and chief investment officer, said he believes Wall Street’s excitement over the idea that interest rate hikes may slow sooner than expected is premature and problematic. “The market … Read more

Bonds are in the dumps. Here’s why this investor is buying

Bonds are in the dumps.  Here’s why this investor is buying

Bonds have been beaten up this year, but that’s good news for anyone wagering that today’s obsession with inflation and rising interest rates will subsidize. Hanif Mamdani, the lead manager of Royal Bank of Canada’s giant PH&N High Yield Bond Fund, offers a high-profile example of an investor looking to take advantage of eye-popping bond … Read more

Why you may be kicking yourself in a few years if you pass up current GIC and bond yields

Why you may be kicking yourself in a few years if you pass up current GIC and bond yields

Good call if you’re waiting for interest rates to rise further before committing money to bonds or guaranteed investment certificates. Inflation has not yet been brought under control, which means interest rates must rise further than they already have. We may very well see bond yields rise along with the rates offered by GICs. Still, … Read more

Before the Bell: What every Canadian investor needs to know today

Before the Bell: What every Canadian investor needs to know today

Be smart with your money. Get the latest investing insights delivered right to your inbox three times a week, with the Globe Investor newsletter. Sign up today. Equities Wall Street futures fell in a choppy premarket period as nervousness over the path of interest rate hikes and the impact on the economy continues to dominate … Read more

Kevin O’Leary says he won’t be buying bonds for now

Kevin O’Leary says he won’t be buying bonds for now

Investors are “going to get hurt” if they’re in long duration bonds right now, says venture capitalist Kevin O’Leary. His comments come hours after the Federal Reserve raised interest rates by 75 basis points — the central bank’s most aggressive hike since 1994. “I wouldn’t be buying bonds here,” O’Leary, who is chairman at O’Leary … Read more