The good news for the dollar is that dollar-debt, such as money market funds and Treasury bonds, are the most liquid, hotly traded, high demand fixed income asset in the world.
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Demand for fixed income was also buoyed by a ZEW report showing that forward-looking sentiment among investors slipped in its April reading coming in at 7.6 after 14.1.
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Using price to manage demand is a well-studied discipline in the airline and railway industries, where individual seats may be priced differently to manage variable demand into fixed capacity.
Demand for additional fixed lines in home markets is slowing (Telefonica added only 3m in Spain between 1997 and 2004).
The higher bond prices go because of demand from risk averse fixed income investors, the lower yields go.
We argue that the production of oranges and lemons was associated with a strong international demand as well as substantial fixed costs during the late 1800s.
But with the Bank rate unlikely or unable to fall further, new home loan demand is shifting back to fixed-rate deals, rather than mortgages which track the Bank rate.
I'd bet Linux administrators would demand that the mail client be fixed, or switch.
The supply of real estate is fixed in the short term, so increased demand from a few optimistic investors will push prices above their equilibrium level.
When flows left equities and came into U.S. fixed income over the last several months, more demand for the dollar pushed currencies like the Brazilian real and Mexican peso lower.
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In the short term, the supply of housing is more or less fixed, so house prices are mainly driven by demand factors: namely, personal disposable income, real interest rates and the return offered by alternative investments such as equities.
That will only change if officials let prices rise to market levels, and allow state enterprises to respond freely to market demand, rather than being ruled by production quotas fixed by economic plans.
High fixed costs should be a handicap in an industry with sharp fluctuations in demand, but Saga is unworried.
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"This crash began back when refining problems around the country were being fixed, one after the other, at the same time that our seasonal gasoline demand was shrinking, " she said.
Market participants will demand higher returns to compensate for rising prices that eat away the value of fixed-income investments over time.
That manipulated, pegged, or fixed-rate system worked well in the early postwar years when there was apparently an unlimited demand for dollar reserves, which we were happy to provide to the world in the form of external deficits.
Even if you hold everything fixed, there will be workers elsewhere in the world who at given the current supply and demand for labor in the U.S., and the resulting market wages, will find it optimal to move here and be hired.
Under fixed exchange rates, governments should tighten fiscal policy when money floods in, in order to dampen aggregate demand.
For Tony Volpon, a managing director in charge of emerging markets fixed income in the Americas over at Nomura Securities in New York, there are distinct factors changing the demand and supply of labor in the direction of tighter conditions.
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