It is currently Mon Feb 24, 2025 5:10 pm

View unanswered posts | View active topics


Board index » GENERAL BULLSHIT SECTION » GENERAL DISCUSSION

All times are UTC - 6 hours [ DST ]



Post new topic Reply to topic  Page 1 of 1
  [ 18 posts ] 
  Print view Previous topic | Next topic 
Author Message
pittmike
 Post subject: Negative Bonds
PostPosted: Wed Jun 15, 2016 8:19 am 
Offline
User avatar

Joined: Mon May 02, 2011 4:29 pm
Posts: 40942
Location: Everywhere
pizza_Place: giordanos
Okay, I have to plead ignorance on this subject. I can't grasp why it happens so naturally I never looked into how it works. Why would a country's bond go to 0 or negative interest? Why would anyone or a entity invest money in a vehicle that takes some of your capital and gives you less back?

http://www.cnbc.com/2016/06/15/us-bond- ... egist.html

_________________
Elections have consequences.
Top
 Profile  
 
SomeGuy
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 9:01 am 
Offline
User avatar

Joined: Mon Jan 04, 2010 9:09 am
Posts: 19929
pizza_Place: Papa Johns
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.
Top
 Profile  
 
pittmike
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 9:21 am 
Offline
User avatar

Joined: Mon May 02, 2011 4:29 pm
Posts: 40942
Location: Everywhere
pizza_Place: giordanos
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.

_________________
Elections have consequences.
Top
 Profile  
 
Chus
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 10:40 am 
Offline
User avatar

Joined: Fri Mar 31, 2006 3:29 pm
Posts: 34795
pizza_Place: Al's Pizza
pittmike wrote:
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.


Believe whatever you want, but we are in better shape now, than when W left office.

_________________
Good people drink good beer - Hunter S. Thompson

<º)))><

Waiting for the time when I can finally say
That this has all been wonderful, but now I'm on my way
Top
 Profile  
 
Hank Scorpio
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 10:47 am 
Offline
User avatar

Joined: Tue Aug 24, 2010 10:16 am
Posts: 20082
pizza_Place: Aurelios
Chus wrote:
pittmike wrote:
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.


Believe whatever you want, but we are in better shape now, than when W left office.


He left office right at the start of a terrible recession. Obama is set to leave office right at the beginning of what looks to be a another recession. Meet the new boss, same as the old boss.

_________________
drinky wrote:
If you hate Laurence, then don't listen - don't comment. When he co-hosts the B&B show, take that day off ... listen to an old podcast of a Bernstein solo show and jerk off all day.
Top
 Profile  
 
denisdman
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 10:56 am 
Offline
User avatar

Joined: Thu Jun 22, 2006 3:55 pm
Posts: 33244
Location: Wrigley
pizza_Place: Warren Buffet of Cock
Mike, negative bond yields are happening for several reasons. Globally, central banks are buying government bonds in an effort to lower interest rates and spur business investment. They are also targeting overnights rates in parts of Europe and Japan that are negative. Banks and insurance companies have to put excess cash somewhere, and government bonds are considered a safe and liquid form of investment. And lastly, risk based capital rules are such that high rated government bonds do not incur a capital charge. They are taken out of the denominator in the risk weighted asset calculation. Basel rules are forcing banks to hold more capital, so in effect, banks have to hold a certain amount of these bonds.

_________________
Hawaii (fuck) You
Top
 Profile  
 
City of Fools
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:02 am 
Offline
User avatar

Joined: Thu Jun 26, 2008 8:22 am
Posts: 15198
pizza_Place: Wha Happen?
Chus wrote:
pittmike wrote:
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.


Believe whatever you want, but we are in better shape now, than when W left office.

I'd love to see the metrics. W was an idiot but manufacturing wise the economy seems the same. Bad.

_________________
Ба́бушка гада́ла, да на́двое сказа́ла—то ли до́ждик, то ли снег, то ли бу́дет, то ли нет.
Top
 Profile  
 
Hank Scorpio
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:08 am 
Offline
User avatar

Joined: Tue Aug 24, 2010 10:16 am
Posts: 20082
pizza_Place: Aurelios
City of Fools wrote:
Chus wrote:
pittmike wrote:
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.


Believe whatever you want, but we are in better shape now, than when W left office.

I'd love to see the metrics. W was an idiot but manufacturing wise the economy seems the same. Bad.


The metrics will say whatever side you want. Turn on MSNBC and unemployment is low, turn on FOX and the number of active job seekers is the lowest since the late 70s. Nothing has changed. The march to oblivion continues unimpeded.

_________________
drinky wrote:
If you hate Laurence, then don't listen - don't comment. When he co-hosts the B&B show, take that day off ... listen to an old podcast of a Bernstein solo show and jerk off all day.
Top
 Profile  
 
GoldenJet
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:09 am 
Offline
User avatar

Joined: Wed Sep 30, 2015 9:13 am
Posts: 17583
Location: BLM Lake Forest Chapter
pizza_Place: Quonset
Image

_________________
Don Tiny wrote:
Don't be such a fucking chump.
Top
 Profile  
 
City of Fools
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:16 am 
Offline
User avatar

Joined: Thu Jun 26, 2008 8:22 am
Posts: 15198
pizza_Place: Wha Happen?
Hank Scorpio wrote:
City of Fools wrote:
Chus wrote:
pittmike wrote:
SomeGuy wrote:
The powers that be don't do things like this because "the economy" is doing well.

It means things are bad and the end of the road is in the horizon.



But I read here the economy is good and unemployment is down.


Believe whatever you want, but we are in better shape now, than when W left office.

I'd love to see the metrics. W was an idiot but manufacturing wise the economy seems the same. Bad.


The metrics will say whatever side you want. Turn on MSNBC and unemployment is low, turn on FOX and the number of active job seekers is the lowest since the late 70s. Nothing has changed. The march to oblivion continues unimpeded.

ding.

_________________
Ба́бушка гада́ла, да на́двое сказа́ла—то ли до́ждик, то ли снег, то ли бу́дет, то ли нет.
Top
 Profile  
 
Dr. Kenneth Noisewater
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:30 am 
Offline
User avatar

Joined: Fri Oct 20, 2006 9:15 pm
Posts: 48816
Location: Bohemian Club Annual World Power Consolidation Conference & Golf Outing
pizza_Place: World Fluoridation Conspiracy Pizza & WINGS!
denisdman wrote:
Mike, negative bond yields are happening for several reasons. Globally, central banks are buying government bonds in an effort to lower interest rates and spur business investment. They are also targeting overnights rates in parts of Europe and Japan that are negative. Banks and insurance companies have to put excess cash somewhere, and government bonds are considered a safe and liquid form of investment. And lastly, risk based capital rules are such that high rated government bonds do not incur a capital charge. They are taken out of the denominator in the risk weighted asset calculation. Basel rules are forcing banks to hold more capital, so in effect, banks have to hold a certain amount of these bonds.


I don't think anybody wanted the real answer, denis.

_________________
You know me like that.
Top
 Profile  
 
Nas
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:42 am 
Offline
100000 CLUB
User avatar

Joined: Tue Mar 29, 2005 8:06 pm
Posts: 81466
pizza_Place: 773-684-2222
Dr. Kenneth Noisewater wrote:
denisdman wrote:
Mike, negative bond yields are happening for several reasons. Globally, central banks are buying government bonds in an effort to lower interest rates and spur business investment. They are also targeting overnights rates in parts of Europe and Japan that are negative. Banks and insurance companies have to put excess cash somewhere, and government bonds are considered a safe and liquid form of investment. And lastly, risk based capital rules are such that high rated government bonds do not incur a capital charge. They are taken out of the denominator in the risk weighted asset calculation. Basel rules are forcing banks to hold more capital, so in effect, banks have to hold a certain amount of these bonds.


I don't think anybody wanted the real answer, denis.


#ThanksObama

_________________
Be well

GO BEARS!!!
Top
 Profile  
 
Dr. Kenneth Noisewater
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:44 am 
Offline
User avatar

Joined: Fri Oct 20, 2006 9:15 pm
Posts: 48816
Location: Bohemian Club Annual World Power Consolidation Conference & Golf Outing
pizza_Place: World Fluoridation Conspiracy Pizza & WINGS!
MAKE BONDS GREAT AGAIN!

_________________
You know me like that.
Top
 Profile  
 
denisdman
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:45 am 
Offline
User avatar

Joined: Thu Jun 22, 2006 3:55 pm
Posts: 33244
Location: Wrigley
pizza_Place: Warren Buffet of Cock
Well technically they are Ken because low yields mean higher prices....

_________________
Hawaii (fuck) You
Top
 Profile  
 
Dr. Kenneth Noisewater
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 11:46 am 
Offline
User avatar

Joined: Fri Oct 20, 2006 9:15 pm
Posts: 48816
Location: Bohemian Club Annual World Power Consolidation Conference & Golf Outing
pizza_Place: World Fluoridation Conspiracy Pizza & WINGS!
See. It only took me 3 minutes.

#Ken2016

_________________
You know me like that.
Top
 Profile  
 
good dolphin
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 12:04 pm 
Offline
User avatar

Joined: Thu Feb 17, 2005 2:35 pm
Posts: 83011
Dr. Kenneth Noisewater wrote:
denisdman wrote:
Mike, negative bond yields are happening for several reasons. Globally, central banks are buying government bonds in an effort to lower interest rates and spur business investment. They are also targeting overnights rates in parts of Europe and Japan that are negative. Banks and insurance companies have to put excess cash somewhere, and government bonds are considered a safe and liquid form of investment. And lastly, risk based capital rules are such that high rated government bonds do not incur a capital charge. They are taken out of the denominator in the risk weighted asset calculation. Basel rules are forcing banks to hold more capital, so in effect, banks have to hold a certain amount of these bonds.


I don't think anybody wanted the real answer, denis.

Image

_________________
O judgment! Thou art fled to brutish beasts,
And men have lost their reason.
Top
 Profile  
 
pittmike
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 1:00 pm 
Offline
User avatar

Joined: Mon May 02, 2011 4:29 pm
Posts: 40942
Location: Everywhere
pizza_Place: giordanos
Dr. Kenneth Noisewater wrote:
denisdman wrote:
Mike, negative bond yields are happening for several reasons. Globally, central banks are buying government bonds in an effort to lower interest rates and spur business investment. They are also targeting overnights rates in parts of Europe and Japan that are negative. Banks and insurance companies have to put excess cash somewhere, and government bonds are considered a safe and liquid form of investment. And lastly, risk based capital rules are such that high rated government bonds do not incur a capital charge. They are taken out of the denominator in the risk weighted asset calculation. Basel rules are forcing banks to hold more capital, so in effect, banks have to hold a certain amount of these bonds.


I don't think anybody wanted the real answer, denis.



Yes I did and thanks Dennis.

_________________
Elections have consequences.
Top
 Profile  
 
Hank Scorpio
 Post subject: Re: Negative Bonds
PostPosted: Wed Jun 15, 2016 2:41 pm 
Offline
User avatar

Joined: Tue Aug 24, 2010 10:16 am
Posts: 20082
pizza_Place: Aurelios
I love Dman but I didnt understand a word he said. I'm also poor and stupid so that could be the real reason.

_________________
drinky wrote:
If you hate Laurence, then don't listen - don't comment. When he co-hosts the B&B show, take that day off ... listen to an old podcast of a Bernstein solo show and jerk off all day.
Top
 Profile  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  Page 1 of 1
  [ 18 posts ] 

Board index » GENERAL BULLSHIT SECTION » GENERAL DISCUSSION

All times are UTC - 6 hours [ DST ]

Who is online

Users browsing this forum: No registered users and 29 guests

You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum

Search for:
Jump to:  
Powered by phpBB® Forum Software © phpBB Group