One reason may be their equally strong expectations for an increase in interest rates in the coming months.
The Merc has been eager to expand off its traditional strength in interest-rate futures trading.
Today inflation is a bit above 2 percent, and bank CDs pay almost nothing in interest.
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In a mark-to-market system, the value of loans would fluctuate according to changes in interest rates.
Borrowers prone to default, he says, may be disproportionately sensitive to changes in interest rates.
Thus leading to the rise in interest rates and the cooling of the boom.
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The prices of euroyen futures indicate a further half-point rise in interest rates next year.
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We still just about see a 25 basis point hike in interest rates next month.
Yield on Brazilian 2021 bonds are similar to France 10-year bonds, which pay 3.27% in interest.
Obviously they're in the interest of -- we think in the interest of both governments.
Morgan has been simulating trades in interest rate derivatives on 250 PCs in its London offices.
The second one is more abstract and has to do with changes in interest rates.
However, analysts said that any reversal in interest rate policy would depend on consumer price growth.
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The recent rise in interest rates shows that investors aren't willing to tolerate endless government spending.
Behind that surge lies not just the greenback's weakness but a widening gap in interest rates.
The only sort of convergence achieved was in interest rates, which were kept low.
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The shorter the duration, the less price movement as a result of changes in interest rates.
The next move up in interest rates will mean another incremental loss of value.
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In 2001, index components paid 62% more in interest than they paid last year.
As a result, they are dangerously overstretched and vulnerable to any change in interest rates.
The BCC warned in particular against a rise in interest rates from the Bank of England.
This growth in interest is exactly what White Cloud Electronic Cigarettes are banking on.
The real monster hiding in the corner is a potential cataclysmic rise in interest expense.
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Their main concern was that a further rise in interest rates would push up sterling.
"We have already anticipated what a rise in interest rates will do, " he claims.
When seeking multi-billion dollar borrowings, even a modest increase in interest rates can prove problematic.
An unexpected leap in interest rates left several well-known clients facing huge losses on their investments.
Mr Sabatakakis says that his firm has noticed a recent surge in interest from multinational companies.
So the government ends up paying most of the bill for any rise in interest rates.
Trading in interest rate futures fell almost 30% in December 2011 compared to the previous year.
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