ABE Weekly: CBDCs and Corporate Bond Markets Of The Future
Australian Bond Exchange Weekly Update Friday 25th August 2023 Key Points RBA releases CBDC report with input from the Australian Bond Exchange Future Fund doubles exposure to Australian corporate debt to $1 billion Treasury yields slide on weaker U.S. and European PMI data Market Yield on U.S. Treasury Securities: 10-Year Constant Maturity Source: Trading Economics […]
ABE Weekly: Monetary policy offers no shortcuts
Australian Bond Exchange Weekly Update Friday 18th August 2023 Key Points RBA minutes signal a turning point in the fight against inflation The Aussie dollar tumbles to a nine-month low Despite a need for instant gratification, monetary policy offers no shortcuts New ABS data shows Australia has likely dodged a wage-price spiral bullet England may […]
ABE Weekly: Amidst volatility, seek predictability
Australian Bond Exchange Weekly Update Friday 11th August 2023 Key Points Despite a fall in discretionary household spending, some economists think inflation could rise as labour costs increase and unemployment holds steady China’s deflation impacts Australian commodities, as mining turnover takes a hit (down 18.1% YoY) despite a significant rise in Chinese coal imports Fixed […]
ABE Weekly: Bond payouts match stocks for the first time in a over a decade
Australian Bond Exchange Weekly Update Friday 4th August 2023 Key Points The RBA left the cash rate on hold at 4.1%p.a on Tuesday, catching economists off guard, validating markets, and giving borrowers a much needed break. Comments within the RBA’s decision statement have prompted speculation on when the next rate cut will be, likely in […]
ABE Weekly: Fixed income is incredibly attractive right now
Australian Bond Exchange Weekly Update Friday 28th July 2023 Key Points The Reserve Bank of Australia (RBA) Cash Rate is currently 4.1%pa, and the rate of inflation in the year to the June quarter has eased to 6%. Next Tuesday, the RBA will decide whether to change the cash rate, or hold as is. The […]
ABE Weekly: Fixed income investments “the stand out asset class”
Australian Bond Exchange Weekly Update Friday 21st July 2023 Key Points The RBA minutes released this week showed rising unemployment concerns played a key role in the decision to pause. However, rising employment suggests another hike is on the horizon. US, UK & EU inflation data (easing to 3%, 7.9% and 5.5% respectively) suggests high […]
ABE Weekly: Equities get the boot as billions flow into fixed income
Australian Bond Exchange Weekly Update Friday 14th July 2023 Key Points Billions of dollars are flowing into fixed income (and billions are being pulled from equities), as major money movers including super fund managers and Wall Street veterans reallocate assets in response to rising cash rates and high inflation. ANZ Consumer Confidence Report shows homeowners […]
ABE Weekly: In the ‘Land of Confusion’ bonds could be the solution
Australian Bond Exchange Weekly Update Friday 7th July 2023 Key Points RBA pauses one of the most aggressive hiking cycles in history, as supply and demand begin to balance out. Now sitting at 4.1%, it is the highest RBA cash rate we have seen in 11 years. An uncertain economic outlook and an inability to […]
ABE Weekly: Investors find opportunities in higher yields despite sticky inflation.
Australian Bond Exchange Weekly Update Friday 30th June 2023 Key Points Leaders of central banks, economic analysts and top journalists discussed the state of global monetary policy and the ‘volatile inflation environment’ wreaking havoc on markets at the ECB Central Banking Forum 2023. Slow growth, high inflation, rising wages, low unemployment and high interest rates […]
ABE Weekly – Interest rates rising, but peak still a far climb
Australian Bond Exchange Weekly Update Friday 23rd June 2023 Key Points Bank of England hikes the cash rate half a percentage point to 5%, to fight sticky 8.7% inflation recorded in the year to April and in the year to May. RBA releases the minutes from the June monetary policy meeting, with upside risks to […]