Buyer Be aware is inevitable. In cases where there are higher chances of defects or risks, it is upon the buyer to exercise inspection before committing to the buying process.
The reason for this is because the oil outperforms the treasuries. In cases of crises in the Middle East, the oil prices shift higher, and this takes a significant toll on bond markets as the prices go down (Pound, 2020). When prices go up, there is little expectation of economic growth, and this lowers the confidence of investors (How Do Stock Markets React To Changes In Oil Prices? n.d.). As a result, bond prices drop.
I would say that Japan’s bond prices will be much affected. When the oil prices are higher, this takes a toll on the inflation, which dearly affect the interest rates. With high-interest rates, the value of market bonds fall. High prices mean that earning expectation growth declines, which is a blow to investors (How Do Stock Markets React To Changes In Oil Prices? n.d.). Japan relies 90% on the import of oil from the Middle East (Japan Still Reliant on Middle Eastern Oil, 2019), meaning the effects will be higher in Japan. In Europe, there are minimal effects as the continent only imports 23.8% of its oil (Japan Still Reliant on Middle Eastern Oil, 2019). As such, Japan suffers most due to lagged economic growth expected from the higher prices of oil.
Over the Last Year, Calzone Corporation Paid a Quarterly Dividend Of $0.10 in Each of the Four Quarters. The Current Stock Price of Calzone Corporation is $39.78. What is the Dividend Yield for Calzone Stock?