What does recent market volatility mean for bonds? City Talk Markets were hit by the highest levels of volatility recorded in nearly a decade last month, fuelled by better than expected inflation data and a subsequent spike in global bond yields in January. After the spike in bond yields in January, February’s price action was a bit more measured. Total returns in the core government [...]
Is inflation a bigger concern than bond markets? City Talk Rising bond yields have been cited as the reason behind the sell-off in the equity markets but should investors be just as concerned about a spike in inflation? The 10-year US Treasury yield has been moving ever closer to 3 per cent, a level that could start to concern some equity market investors. While the [...]
Why we aren’t too worried about rising bond yields City Talk The market was spooked by the recent rise in bond yields as data implied that US interest rates could rise at a faster pace than expected. We expect a positive repricing of bonds. The recent move higher in global bond yields has to be viewed in the context that last year was probably the least [...]