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The yield on Treasury bonds fell to 3.47percentt, while the price rose to 100 8/32.
The "TED spread," the difference between overnight rates among banks and the yield on Treasury bills, hit a new record of 3.61 percentage points.
The yield on Treasury bonds rose sharply as traders priced in a December rate hike by the Federal Reserve, which would be the first in almost a decade.
But even if that were to happen, municipal bond yields are sufficiently attractive so that I don't think there would be a direct impact on their yield level relative to the yield on Treasury securities.
According to SocGen, emerging markets offer a dividend yield of 3.1%, a good margin over the yield on Treasury bonds and on par with the yield on the MSCI World.
There has even been a surprisingly large number of bonds issued with interest rates of ten percentage points or more above the yield on Treasury bills—usually an indicator that a company is in grave difficulties and might default.
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But the starting-point for such calculations is 1982, when Treasury-bond yields were in double digits and the dividend yield on US equities was 6.2%.
On Oct. 30, the day before the Fed cut the Fed funds rate from 4.75percentto4.5percentcenthethe yield on Fannie Mae securities was 5.75percentt.
The average yield on Merrill Lynch's high-yield index is about 12.5percentt and the yield on corporate bonds at the low end of the investment grade scale is about 7percentt.
The average yield on GE's loans is 7% and in a world in which yields on most assets are at rock bottom, they are enticing.
(Incredibly, the yield on Nestle bonds turned negative yesterday).Clearly, all currencies cannot decline, so it might be tempting to think this is a zero-sum game.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com