Tightening - Revision history

Doug: Add link.

2024-05-25T01:51:37Z

Add link.

← Older revision		Revision as of 01:51, 25 May 2024
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	* [[Spread]]		* [[Spread]]
	* [[Stagflation]]		* [[Stagflation]]
			* [[Tight]]
	* [[Widening]]		* [[Widening]]
	* [[Yield]]		* [[Yield]]

Doug: Add link.

2024-03-28T11:58:36Z

Add link.

← Older revision		Revision as of 11:58, 28 March 2024
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	* [[Spread]]		* [[Spread]]
	* [[Stagflation]]		* [[Stagflation]]
			* [[Widening]]
	* [[Yield]]		* [[Yield]]

Doug: Layout.

2024-03-28T11:57:04Z

Layout.

← Older revision		Revision as of 11:57, 28 March 2024
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	:The transaction is believed to be the first social bond focused solely on education."		:The transaction is believed to be the first social bond focused solely on education."

	:''ACT Deals of the Year Awards 2020 - Pearson''		:''ACT Deals of the Year Awards 2020 - Pearson.''


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	[[Category:Accounting,_tax_and_regulation]]		[[Category:Accounting,_tax_and_regulation]]
	[[Category:~~The_business_context~~]]		[[Category:Financial_products_and_markets]]
	[[Category:Identify_and_assess_risks]]		[[Category:Identify_and_assess_risks]]
	[[Category:Manage_risks]]		[[Category:Manage_risks]]
	[[Category:~~Cash_management]]~~		[[Category:The_business_context]]
	~~[[Category:Financial_products_and_markets]]~~
	~~[[Category:Liquidity_management~~]]

imported>Doug Williamson: Add definitions. Sources: linked pages.

2021-07-13T04:22:07Z

Add definitions. Sources: linked pages.

← Older revision		Revision as of 04:22, 13 July 2021
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	''Monetary policy - money supply.''		1. ''Monetary policy - money supply.''

	Measures designed to reduce the money supply.		Measures designed to reduce the money supply.
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	:''Michael Saunders, External Member of the Bank of England's Monetary Policy Committee (MPC), May 2020.''		:''Michael Saunders, External Member of the Bank of England's Monetary Policy Committee (MPC), May 2020.''


			2. ''Bonds - issuance - yields - spreads.''

			In relation to a bond yield, especially at issuance, ''tightening'' means a reduction in the yield.

			This makes the bond a lower-cost source of financing for the issuer.

			The reduction in yield is known as a tightening, because the spread over the yield on the comparable risk-free benchmark security is reduced.


			:<span style="color:#4B0082">'''''Social bond pricing tightened by 0.45%'''''</span>

			:"After launch, the order book underwent rapid growth to £3.7bn – oversubscribed by more than 10 times – an exceptional response given market conditions at the time.

			:Pricing tightened by 0.45% between launch and final pricing.

			:The transaction is believed to be the first social bond focused solely on education."

			:''ACT Deals of the Year Awards 2020 - Pearson''


			3. ''Markets - spreads - bid-offer.''

			In two-way market pricing, the spread is the difference between the market maker's buying and selling prices (also known as the bid and offer, or bid and ask, prices).

			Tightening spreads describes a reduction in the difference between the buying and selling prices.

			This, in turn, generally indicates a liquid market, with strong price competition between market participants.


	== See also ==		== See also ==
			* [[Ask]]
	* [[Asymmetric]]		* [[Asymmetric]]
	* [[Balance sheet reduction policy]]		* [[Balance sheet reduction policy]]
	* [[Bank of England]]		* [[Bank of England]]
			* [[Benchmark]]
			* [[Bid]]
			* [[Bond]]
	* [[Central bank]]		* [[Central bank]]
	* [[COVID-19]]		* [[COVID-19]]
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	* [[Inflation]]		* [[Inflation]]
	* [[Inflation target]]		* [[Inflation target]]
			* [[Issuance]]
			* [[Launch]]
	* [[Lowflation]]		* [[Lowflation]]
			* [[Market maker]]
	* [[Monetary policy]]		* [[Monetary policy]]
	* [[Monetary Policy Committee]]		* [[Monetary Policy Committee]]
	* [[Money supply]]		* [[Money supply]]
			* [[Offer]]
			* [[Order book]]
	* [[Overheating]]		* [[Overheating]]
	* [[Quantitative easing]]		* [[Quantitative easing]]
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	* [[Recession]]		* [[Recession]]
	* [[Risk management]]		* [[Risk management]]
			* [[Social bond]]
			* [[Spread]]
	* [[Stagflation]]		* [[Stagflation]]
			* [[Yield]]

	[[Category:Accounting,_tax_and_regulation]]		[[Category:Accounting,_tax_and_regulation]]

imported>Doug Williamson: Add links.

2020-06-12T22:59:24Z

Add links.

← Older revision		Revision as of 22:59, 12 June 2020
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	* [[Monetary Policy Committee]]		* [[Monetary Policy Committee]]
	* [[Money supply]]		* [[Money supply]]
			* [[Overheating]]
	* [[Quantitative easing]]		* [[Quantitative easing]]
	* [[Quantitative tightening]]		* [[Quantitative tightening]]
			* [[Recession]]
	* [[Risk management]]		* [[Risk management]]
	* [[Stagflation]]		* [[Stagflation]]

imported>Doug Williamson: Add links.

2020-06-12T12:31:30Z

Add links.

← Older revision		Revision as of 12:31, 12 June 2020
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	* [[Inflation target]]		* [[Inflation target]]
	* [[Lowflation]]		* [[Lowflation]]
			* [[Monetary policy]]
	* [[Monetary Policy Committee]]		* [[Monetary Policy Committee]]
			* [[Money supply]]
	* [[Quantitative easing]]		* [[Quantitative easing]]
	* [[Quantitative tightening]]		* [[Quantitative tightening]]

imported>Doug Williamson: Add reason.

2020-06-12T12:21:26Z

Add reason.

← Older revision		Revision as of 12:21, 12 June 2020
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	Measures designed to reduce the money supply.		Measures designed to reduce the money supply.

			Usually with the intention of reducing excessive inflation.

imported>Doug Williamson: Add link.

2020-06-12T10:51:59Z

Add link.

← Older revision		Revision as of 10:51, 12 June 2020
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	* [[COVID-19]]		* [[COVID-19]]
	* [[Downside risk]]		* [[Downside risk]]
			* [[Easing]]
	* [[Inflation]]		* [[Inflation]]
	* [[Inflation target]]		* [[Inflation target]]

imported>Doug Williamson: Create page. Sources: linked pages.

2020-06-12T10:51:34Z

Create page. Sources: linked pages.

New page

''Monetary policy - money supply.''

Measures designed to reduce the money supply.

:<span style="color:#4B0082">'''''Ample tools to tighten'''''</span>

:"At present, if we overdo the stimulus somewhat and then find the economy recovers strongly, we have ample tools and time to tighten policy again before persistent excess demand and inflation become a problem."

:''Michael Saunders, External Member of the Bank of England's Monetary Policy Committee (MPC), May 2020.''

== See also ==
* [[Asymmetric]]
* [[Balance sheet reduction policy]]
* [[Bank of England]]
* [[Central bank]]
* [[COVID-19]]
* [[Downside risk]]
* [[Inflation]]
* [[Inflation target]]
* [[Lowflation]]
* [[Monetary Policy Committee]]
* [[Quantitative easing]]
* [[Quantitative tightening]]
* [[Risk management]]
* [[Stagflation]]

[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Cash_management]]
[[Category:Financial_products_and_markets]]
[[Category:Liquidity_management]]