Multi-Asset Strategy Daily

The report highlights that global rates are currently dictated by oil prices and Middle East headlines rather than domestic economic data. Yields remain supported by energy-driven inflation risks despite signs of softening growth in the Eurozone and the UK.

Key Takeaways

• 1.Global fixed income markets are currently driven primarily by oil prices and Middle East geopolitical developments rather than domestic macro data.
• 2.US 10Y yields are consolidating in the 4.5-4.6% range as geopolitical risk premia in oil ($90-110) limit the scope for a duration rally.
• 3.European and UK rates are facing a tug-of-war between deteriorating domestic growth data and externally-driven energy inflation risks.

Table of Contents

• USD
• EUR
• GBP
• JPY
• Important Information
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