RE:Preferreds laggardWord on the street is that negative rates are coming. Preferreds rates are partially connected to 5 year bond yield. What happens when they go negative? Can they go negative?
But hey who knows, they are even talking about negative oil prices, yet oil stocks taking off.
There's a mis-match going on here. Everyone talking about rates dropping, even going negative.....yet when companies actually go to raise cash/debt rates are going through the roof.
Suncor just issued debt, the rates it has to pay are way higher than before.
Batex I think rolled it's debt over at over 8% I think!!!
People going to the bank thinking they can refinance their mortage at a lower interest rate, but they find out that the reverse is what is happening, rates going up.
Ubervak wrote:
Anyone else notice prefs havent joined in the recent sp action of the commons? Commons back to March 6th prices. Preferreds aren't event close.. I bought more... - Uber