1. Money Markets fear a half point base rate rise on a Tory defeat. 2. If market rates rise between coupon reset periods, the FRN will be trading slightly below par, while if market rates fall they will be trading slightly above. 3. Also dragging on the dollar and fanning talk of a rate rise was a report showing a faster-than-expected rise in German import prices. 4. Also, some traders said a rate rise is less likely as long as the mark is strengthening against the dollar. 5. Also, the stocks carry relatively high dividend yields which lose luster as rates rise. 6. Also, claims against car insurance policies are increasing as crime rates rise, Fasecolda said. 7. American analysts had been calling for the rate rise to discipline the peso market. 8. An increase in producer prices or a bigger-than-expected rise in consumer prices could serve as a harbinger of a rate rise the following week. 9. An immediate rate rise would remove that uncertainty, he said. 10. Analysts had been waiting for the release of the May minutes to see if George recommended a rate rise. |