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Six months ago, Maura Shaughnessy couldn’t find a single utilities company to buy. Back then, these businesses were on a tear—the S&P 500 Utilities sub-index was up 26 percent in 2014—which made it difficult to find undervalued opportunities. Things have cooled off dramatically since. The sector is down about 7 percent year-to-date, while its price-to-earnings …

Interest rates on the rise

The volatility in the stock market is partly because of the bond market, which saw the yield on the 10-year hit a six-month high.


Bond investors are scrambling to figure out whether interest rates have bottomed and where to deploy their cash. European government bond and U.S. 10-year Treasury yields are trading at their highest levels in more than two months and the U.S. 30-year Treasury bond yield reached a high for the year on Tuesday. As yields rise …

PIMCO CIO on the economy & markets

Scott Mather, Pimco CIO, runs the world’s biggest bond fund and it’s outperforming its peers. He shares his thoughts on the economy, fixed income and the Federal Reserve.

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From the looks of the bond market, you might think the economy was heading south—and fast. March’s retail sales rose 0.9 percent, the first increase after three months of declines but shy of the 1.1 percent expected. It showed consumers were spending again, and the economy is not tipping toward recession. Yet, Treasury yields, which …

Global reaction to ECB stimulus

Nightly Business Report has reaction to the European Central Bank’s new historic bond-buying program from our across Europe.


The interest rate on the U.S. government’s 10-year Treasury fell below 2 percent on Tuesday morning for the first time since mid-October, as fears over global growth led a flight to safety. Investors continued to buy sovereign debt amid the selloff in equities with the U.S. 10-year yield falling for a seventh straight session. The …

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Bill Gross

Bill Gross said in an exclusive interview with CNBC on Monday that economic growth will likely fall to 2 percent. “Yes, we’re starting from a 3 percent growth economy that will probably persist for another quarter or so,” he said. “We get back to a relatively new structural growth rate, which is not 3 but …

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European Central Bank and Euro Symbol in Frankfurt, Germany.

It’s hard to believe it’s just a few years since countries like Ireland and Spain had to go cap-in-hand to international lenders – at least if you look at their bond yields. Ireland’s 10-year bond yield, usually reflective of a country’s economic performance, hit a record low of 1.477 percent Monday, while Spanish 10-year bond …

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Traders on the floor of the New York Stock Exchange.

Blow-away Philly Fed data at a 1993 level, slightly stronger consumer inflation data, a surprise jump in home sales and still sub-300,000 weekly jobless claims. None of it has even ruffled the bond market. Treasury yields stayed around levels they were at all morning Thursday, but the volume was higher than usual. The cash market …

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A man walks past a Pacific Investment Management Company LLC (PIMCO) advertisment which is displayed on a building in Hong Kong, China.

Investors have been withdrawing money aggressively out of bond funds recently, and it’s pretty much all Pimco’s fault. In fact, when excluding flows from the Newport Beach, California-based fixed income behemoth, all other bond funds actually have been taking in money, according to calculations from Morningstar that highlight just how pronounced a reaction investors have …

Jim Young | Reuters
Bill Gross

Fixed income guru Bill Gross may attract headlines, but many traders are betting that he won’t be able to help his new employer. Janus Capital Group, which welcomed Gross in September, has seen a 7 percent increase over the past month in its percent of shares outstanding on loan, according to data from Markit. This …

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The high-profile departure of Bill Gross has cost Pimco another customer. As the fallout continues since Gross left the Newport Beach, California-based asset manager last month, the Arkansas Teacher Retirement System said it has cut ties, according to a report in Pensions & Investments. Pimco had managed about $475 million for the fund as part …

Jim Young | Reuters
Bill Gross

In his first on-the-record comments since joining Janus Capital, Bill Gross said global economic growth is declining, causing central banks to take an aggressive stance unlikely to change soon. That’s problematic in some sense, though: Measures from institutions like the Federal Reserve and others are causing distortions in financial markets that need to be corrected. “A …

Q4 outlook for bonds & commodities

What’s next for bonds and commodities in the fourth quarter?