Skip to Content

Online Banking

the right bank TM

News

Category:
 
Results: 65 Articles found.

MID-CYCLE CREDIT CHECK

High-yield bond valuations have cheapened in sympathy with equity market volatility but have shown relative resilience. Some signs of credit quality deterioration have emerged but remain at the fringes of the market and are not representative of corporate bonds overall. Corporate bond prices may have moved more than justified by fundamental data.

FORECAST FOR CLEAR SKIES

The latest reading on the Conference Board’s monthly LEI helps to provide some timely guidance regarding recent market volatility. The LEI says the risk of recession in the next 12 months is very low (4%), but not zero. Based on the level of the LEI relative to its prior peak, the current economic expansion may last at least another four years.

THE MARKET DOWNTURN IS HERE, NOW WHAT?

As a bull market matures over the second half of an economic expansion, periods of increased market volatility are likely to become more common. Periods of volatility bouts will likely create a more challenging environment for investors, and in the short term, sentiment can control markets as investor sensitivity to certain risks spikes. We believe the macroeconomic fundamentals and the dynamism of American corporations are likely to drive further stock market gains.

NVB Mobile app makeover!

In September we will be upgrading our app with a more modern, user-friendly look.

HIGH-YIELD OIL SLICK

The year-to-date performance advantage of high-yield bonds relative to Treasuries (based on the Barclays High Yield and Treasury indexes) has been reduced to a very narrow margin following rising oil-related default fears. We find current market-default expectations, which imply a 15% default rate over one year, overly pessimistic. Few bond maturities come due through the end of 2016, a key factor that will likely support a low-default environment for high-yield bonds overall.

 
Results: 65 Articles found.