Market Week: December 19, 2016

The Markets (as of market close December 16, 2016)

The fallout from the increase in the federal funds rate saw bond yields rise, with the yield on 10-year Treasuries hitting a 2-year high. Bond prices tend to fall (and yields rise) when interest rates increase. Lender rates from financial institutions are also expected to climb, pushing consumer loans (e.g., credit card rates) higher. Interest rates on bank deposits may not rise as quickly, however. Equities closed last week with little change in value from the week before. Of the indexes listed here, only the Dow posted a gain, marking the sixth consecutive week of gains for that index. The remaining indexes fell marginally, except for the Russell 2000, which dropped 1.71%.

Click here to read moreĀ 

Market Week: January 2, 2017

Next Post