Correlation across equities and rates are adding weight behind widely-held beliefs that recent equity highs cannot be maintained and a continued economic recovery will force a rate rise.
The confluence of these factors, as well as an expectation that the Federal Reserve will slow down or exit quantitative easing at some point this year, is creating an opportunity for investment firms to purchase cross-asset options structures that play all four assumptions.
Interest rates may incline
Most Popular Articles
Latest Articles
Indiana senator explains his inquiries into reverse mortgages
Sen. Mike Braun offered insights into his recent letter to Ginnie Mae and the potential need for more scrutiny of the HECM and HMBS programs.