According to a T. Rowe Price portfolio manager, the spread between green bonds and non-green bonds from the same corporate is in the range of 0 bps to 1 bps, which isn’t “economically appealing for an issuer.” Sovereigns are getting about a 7 bps premium, on average.
Last week, the world’s largest retailer announced that it will start to unwind its Center for Racial Equity, as other employers—including Boeing, Ford, and JPMorgan Chase—have also begun backing away from their DEI policies.
Last week’s core PCE numbers support comments by Fed officials that there’s no rush to cut interest rates so long as the labor market remains healthy and the economy continues to power ahead.
In the Fed’s semi-annual report on U.S. financial stability, the second- and third-ranked concerns were escalating tensions in the Middle East and policy uncertainty.
With FedNow, Real-Time Payments, Same-Day ACH, and other emerging products and services, treasurers should be evaluating a range of options for speeding up—and streamlining—payments.