{"id":41165,"date":"2014-03-17T07:12:18","date_gmt":"2014-03-17T11:12:18","guid":{"rendered":"http:\/\/www.hedgeco.net\/news\/?p=41165"},"modified":"2014-03-17T07:12:18","modified_gmt":"2014-03-17T11:12:18","slug":"hedge-funds-wary-of-betting-on-rates","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/03\/2014\/hedge-funds-wary-of-betting-on-rates.html","title":{"rendered":"Hedge funds wary of betting on rates"},"content":{"rendered":"<p>Risk &#8211; Despite widespread consensus on the direction of interest rates in the US and UK, many hedge funds are wary of making bets, partly because they expect dealer constraints to exaggerate volatility when the first hikes arrive.<\/p>\n<p>Before Ben Bernanke\u2019s now-famous warning that the US Federal Reserve might rein in its bond-buying programme last May, hedge funds were among those betting on continued low interest rates. The Fed chief\u2019s comments sparked a mass U-turn and, as a side-effect, revealed a new reality of the fixed-income market \u2013 burdened by new rules on capital and leverage, dealers were no longer willing to buy up and sit on unwanted risk positions, with the result that\u00a0liquidity dropped and prices gapped downwards before finding a buyer\u00a0(<em>Risk<\/em>\u00a0August 2013).<\/p>\n<p><a href=\"http:\/\/www.risk.net\/risk-magazine\/feature\/2333583\/hedge-funds-wary-of-betting-on-rates\" target=\"_blank\"><strong>Read Complete Article<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Risk &#8211; Despite widespread consensus on the direction of interest rates in the US and UK, many hedge funds are wary of making bets, partly because they expect dealer constraints to exaggerate volatility when the first hikes arrive. Before Ben [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-41165","post","type-post","status-publish","format-standard","hentry","category-syndicated"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/41165","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=41165"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/41165\/revisions"}],"predecessor-version":[{"id":41166,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/41165\/revisions\/41166"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=41165"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=41165"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=41165"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}