Best sectors for investors
Fed cutting down on bond purchases
Growing cost for European investors
Dollar-denominated bonds have not had the best of times recently, writes Mateusz Malek, head of bonds research at Killik & Co.
The EMD hard currency (HC) asset class has declined by 4.75% since the beginning of the year.
In recent months we have been buying 0-5 year US inflation-linked bonds (TIPS) as a defensive move to get exposure to the US dollar, writes MitonOptimal's Peter Geikie-Cobb.
Possible challenges to flows
10-year Treasury yield passes 3%
Suitable for $ investors
As ten-year US Treasuries hit 3%, it is time to start thinking out of the box, writes Brian Heyworth, global head of client strategy at HSBC Global Asset Management.
Yield curve continues to flatten
When the relationship between two well-observed and liquid variables in the bond markets reaches multi-year wides, it warrants attention.
Wage pressures increasing
Improving portfolio diversification
Short duration key in current environment
Concerns about rising rates
Last month, the US Department of Labor reported average hourly earnings had increased 2.9% in January. Wage gains, largely absent from the post-crisis recovery, are good news for the economy.
First meeting for Powell
First testimony since taking over role
Issue of 'self-doubt' and over-valued bonds
$38.7bn inflows in Q3
Amid record short positions
Short US equities
Investment Conundrums: Morningstar's Kemp - You have to be thinking about a wider range of scenarios than at other points in the cycle
Dan Kemp, chief investment officer, EMEA at Morningstar Investment Management Europe, said concerns about unattractive valuations across global asset classes and a wide range of possible return outcomes are key drivers shaping the team's current investment...