The same policies that have forced down government-bond yields have forced up the cost of providing pensions.
The selloff in bond markets forced leaders to call an emergency summit for July 21.
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There was an exodus of income investors who were forced out of the bond market by inflated bond prices and low yields, and into the stock market mostly dividend paying stocks.
To raise the cash the trusts have been forced to liquidate other bond holdings (they suffer the same penalities as individuals on Daewoo debt), driving down prices further and prompting more redemptions.
The information on wholesale bond prices and spreads is non-transparent and difficult for retail investors to find on a real time or near real time basis, resulting in investors being forced to trust the bond Broker-Dealer, resulting in high markup or markdown costs.
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That was hardly the reassurance that an increasingly fractious government bond market needed and forced fresh sales.
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Like many governments across Europe that have been scarred by the bond market turmoil that forced Greece and four other countries to need rescue loans, Britain is focusing on reducing debt quickly, even at the cost of short-term economic pain.
Spain conducted a dreadful bond auction, in which it was forced to pay 6.975%, just shy of the 7% benchmark.
Many companies, seeing their bond prices fall, would likely be forced to offer the market higher interest rates to bring them back to the table.
The Bank of Japan's bond purchases, known as quantitative easing, could have significant implications for global bond markets "if Japanese investors are forced to look abroad for higher yielding alternatives, " said Deutsche Bank analyst Gene Cheon.
However, when individual investors decide to take their money out of a bond fund, the portfolio manager may be forced to sell bonds at less than desirable prices to give them back their money.
The FASB heard anguished pleas from some companies that their bond indentures would be technically abrogated if they were forced to capitalize leases on their balance sheets as liabilities.
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And there is another snag: if interest rates rise, and bond prices fall, many financial firms might be forced to record huge losses, or even to close down altogether.
We saw this vicious cycle in junk bonds after Mike Milken was forced to suspend his activities as the market maker for the junk bond market.
The Rome government was faced with spiralling borrowing costs in the bond markets, while the country's banks were forced to turn to the European Central Bank for emergency loans.
There were reports Friday that EU officials are preparing a plan in case they are forced to kick Greece out of the EU. Spanish and Italian bond yields were above 6% most of the week, which is also stressing the EU financial system.
Suttong, a battery maker, was recently forced to raise money at 450 basis points over the prevailing rate in the bond market.
The government-bond market is dominated by local banks and insurance firms which are forced to buy thanks to liquidity and solvency rules.
However, the possibility of a reduction in the US Treasury credit rating would affect the bond markets, and corporate debt as well, which would be forced to pay a higher insurance premium for its debt going forward in the case of a US downgrade.
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Two years ago, after the Fed forced interest rates close to zero, I began writing about the dangers lurking in the bond market that were going to favor equities.
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As the Italian economy slows, as many expect it will, the ECB may be forced to expand its balance sheet again with interest rate cuts and possibly some form of sovereign bond purchasing, which we ever more ironically refer to as QE.
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