So perhaps bond yields are being held down not by QE, but by the expectation that interest rates will be held near zero for the foreseeable future.
As a key benchmark issue, the auction will signal the onshore expectation for interest rate direction in the near term.
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Given the Fed's recent move to raise interest rates and the expectation of more hikes to come, savings from offshoring look even more attractive to lending institutions in search of new ways to boost the bottom line.
There is the expectation that capital gains, interest and dividends will be taxed as regular income.
In New Jersey, bids start at 18% interest with the expectation that the public, competitive bidding will reduce that rate.
The principle and interest agreed to where agreed to with the expectation that NGDP would continue along at its current pace.
J's publications cite the risk that the expectation of a long period of low interest rates will cause firms and banks to overreach themselves.
The dollar rose sharply ahead of Mr Greenspan's testimony, in the expectation that he would hint at more interest-rate rises to come as indeed he did.
Yet much of this relief is based on a single expectation: that the Fed will cut interest rates soon, perhaps even before its next rate-setting meeting on September 18th.
More revealing, however, was the more awkward and equivocal reaction of newspapers closer to the centre, reflecting the reluctance of many commentators and interest groups to incur Mr Berlusconi's wrath, in the expectation that he will win.
His expectation of a continuing interest in the minutiae of his genealogical research is high.
Wage stickiness could stop inflation falling much below 2%, and could justify the expectation of many economists that short-term interest rates will fall no lower than 2.75%.
So if, as bonds apparently already are, the stock market begins to anticipate higher interest rates, that could be yet another potential catalyst for my expectation that the market will run into trouble again this summer.
We left this story last month with the happy expectation that Fed Chairman Bernanke was going to be deflating the carry trade bond bubble, bring long term interest rates in line with inflation expectations, stimulate bank lending and thereby create economic growth.
Expect it so blithely that we will not challenge the expectation even when it works against our own economic self-interest.
Bonds have been in a fairly significant correction since last summer, on expectation that the recovering economy would allow the Fed to begin removing the stimulus punch bowl and raising interest rates.
As Michael Saunders, at Citi, points out, the "market forecast" for interest rates, which is built into the Bank's inflation charts, now includes an expectation that bank rate will be cut one more time, to 0.25%, in 2013.
Why would politicians want to make tough decisions and upset special interest groups, after all, when there is going to be more revenue (or at least the expectation of more revenue)?
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