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 […]
ABE Weekly – Wall Street veteran latest to jump on the bondwagon
Australian Bond Exchange Weekly Update Friday 16th June 2023 Key Points Unemployment drops to 3.6%, despite the RBA’s attempt to soften the market by increasing the cash rate 400bps since last year. Another hike is now predicted for July. Consumer sentiment at “recession lows” as Australians struggle with a cost-of-living crisis, further complicated by a […]
ABE Weekly: When it comes to debt, it pays to be the creditor
Australian Bond Exchange Weekly Update Friday 9th June 2023 Key Points The RBA hiked the cash rate again on Tuesday, raising it 25 basis points to 4.1%, signaling to markets they will do whatever is necessary to curb this sticky inflation Investors and commentators are jumping on the “bondwagon” as a new sense of hype […]
ABE Weekly: Macquarie Backs Bonds as Equities Lose Appeal
Australian Bond Exchange Weekly Update Friday 6th June 2023 Key Points New Australian CPI data shows inflation is still pernicious, driven by rising rents and lack of housing, prompting some analysts to predict another cash rate hike as early as next week. SIAA Conference insights suggest investors are moving away from highly volatile investments like […]
ABE Weekly: $1 trillion predicted to flow into fixed income, as market shifts
Australian Bond Exchange Weekly Update Friday 26th May Key Points Westpac’s Leading Index of Economic Activity forecasts slow economic growth (1%) in 2023, reporting a 20% drop in housing approvals in the first quarter of the year Sticky inflation across major economies, including the higher than forecasted figure of 8.7% inflation for the UK, is […]
ABE Weekly: Wage Growth Outpacing RBA’s Cash Rate
Australian Bond Exchange Weekly Update Friday 19th May Key Points RBA minutes released this week explain the 25bps rate rise that shocked the markets. Wages increasing at a rate higher than the RBA cash rate, signaling stickier inflation. Low unemployment and increasing wages could be favourable for bond investors. The US debt-ceiling is self-imposed and […]
ABE Weekly: A war on inflation, or a conflict of interest?
Australian Bond Exchange Weekly Newsletter Friday 12th May 2023 Key Points The 2023-2024 Federal Budget released on Tuesday has provided Australia with a surprising surplus, albeit short-lived with large, forecasted deficits for 2023-2024. The Budget has heralded mixed reviews from economists and market commentators on whether the injection of billions of dollars into the economy […]
ABE Weekly: RBA makes waves, leaving some investors in deep water
Australian Bond Exchange Weekly Newsletter Friday 5th May 2023 Key Points Market economists left shocked as the Reserve Bank of Australia (RBA) hikes cash rate to 3.85%, with mixed rhetoric causing confusion. US and EU central banks increase cash rates by 25bps, and although some analysts forecast US cuts as early as December, the EU […]
ABE Weekly: CPI Index Shows Inflation Easing
Australian Bond Exchange Weekly Newsletter Friday 28th April 2023 Key Points Latest CPI Index shows inflation is easing, down 80 basis points to 7% Price pressures in housing could see the cash rate increase next week Why another interest rate hike could benefit fixed income investors ABE’s Monthly Webinar shares benefits of Centuria’s “Early Call” […]
ABE Weekly – New Dual Board a Possibility for the RBA
Australian Bond Exchange Weekly Newsletter Friday 21st April 2023 The Weekly PDF Version Key Points BOE & RBA note rising inflation is increasing corporate and government bond yields Reserve Bank of Australia review proposes restructure, with two new boards Australian consumer confidence recovers despite inflation The inverse yield curve in US treasury bonds continues Data […]