SPDR Bloomberg Barclays Investment Grade Floating Rate ETF
How the Fed funds rates and inflation affect interest rates
As the economy expands creating inflationary pressures, the Fed raises the Fed funds rate to control inflation.
Must-know: The financial situation under review—June FOMC
Broad stock market indices were boosted by a more optimistic assessment of near-term economic prospects, and supported by continued low interest rates.
Why did demand for floating-rate notes decline?
Floating-rate notes (FLRN) are the Treasury’s most recent issue. Their first auction was held in January 2014. They offer you a term-to-maturity of two years.
Key traits that distinguish a dove from a hawk in the FOMC
Being a hawk or a dove, in finance, refers to the attitude of Federal Reserve policymakers toward inflation. The Federal Reserve has two mandates: to ensure full employment and to bring about price stability (low inflation).
Dove or hawk? Why monetary policy stance matters to investors
This series gives you insights into the monetary policy stance of each of the dovish FOMC members. Let’s start by understanding the structure of the FOMC and what it is that differentiates doves and hawks.
The FOMC’s must-know April forward guidance and policy action
At the FOMC meeting held on April 29–30 in Washington, DC, participants noted that investors had well understood the changes to the Committee’s forward guidance at the March FOMC meeting.
Why the Fed funds rate influences investment decisions
When deciding about investing in short-duration versus long-duration investments, investors often look at current and future expectations for the Fed funds rate.
Is simpler and more transparent regulation better for investors?
Over the course of his speech, Plosser provided several reasons why simplicity and transparency can enable markets to price risks in a more informed manner.
Why does Richard Fisher advocate for Delphic forward guidance?
In this article, we’ll discuss Fisher’s take on Delphic forward guidance. According to Fisher, Delphic forward guidance is more obscure and enigmatic.
Is qualitative forward guidance better than no guidance at all?
At the recently concluded Federal Open Market Committee (or FOMC) meeting of the U.S. Federal Reserve, the Fed said it would remove the quantitative thresholds from its policy statement.
The Dallas Fed’s Richard Fisher shares key forward guidance
The Fed’s tapering of monthly asset purchases is expected to end this fall. Markets are closely watching for developments on the Fed front as to when the base rate might rise.
Auto sales: Can record incentives revive auto industry fortunes?
Light vehicle auto sales for March will be released on Tuesday, April 1. The light vehicle annualized selling pace came in at 15.3 million in February.
March manufacturing releases are critical in assessing a recovery
The Purchasing Managers Manufacturing Index (or PMI) is based on a monthly survey of selected companies that provide an advanced indication of what’s really happening in the private-sector economy.
Energy & Utilities
A guide to the Atlanta Fed Business Inflation Expectations Survey
The Business Inflation Expectations (or BIE) Survey was created to measure the coming year’s inflationary sentiments for businesses in the Sixth District.
Must know: How the Fed’s monetary policy affects short-term yields
The Fed directly influences the short-term yields by either buying or selling short-term Treasuries or affecting the Fed funds rate.
How does the Fed’s monetary policy affect the yield curve?
When it comes to changes in the shape of the yield curve, there is no bigger factor driving these changes than the Federal Reserve.