Dear Client, The next two BCA Research Global Fixed Income Strategy reports will be jointly published with other BCA services, which will impact the publishing dates. Our next report will be a joint Special Report on Australia,…
The UK economy decelerated in Q3 with the GDP print falling below expectations. Economic growth slowed from 5.5% to 1.3% q/q versus an anticipated 1.5% rate. Similarly, year-over-year growth moderated to 6.6% from 23.6%. However…
Highlights Fed/BoE: Both the Fed and the Bank of England found ways to talk down 2022 rate hike expectations discounted in US and UK bond markets. This is only a temporary reprieve, however, as the near-term uncertainties over the…
The Bank of England kept policy unchanged at its meeting on Thursday. The Monetary Policy Committee voted by a majority of 6-3 to maintain UK bond purchases and a majority of 7-2 to keep the Bank Rate at 0.1%. Governor Bailey…
Highlights Duration & Country Allocation: Global bond yields have been driven by growth and inflation expectations over the past year, but shifting policy expectations are now the more important driver. Tighter monetary policies…
Highlights The 26th Conference of the Parties (COP26) will open this weekend in Glasgow, Scotland, amid a global crisis induced in no small measure by policies and regulations that led to energy-market failures. Price-distorting…
UK 10-year government bond yield fell by 12.8 bps on Wednesday, leading the rally in global long-dated sovereign bonds. The proximate cause of the decline in long-dated Gilt yields is the release of the UK budget which revealed…
Highlights Bank of Canada: Rising inflation, high capacity utilization, and monetary policy constraints will force the Bank of Canada to taper further and move up the timing of its first rate hike to H1/2022. Stay underweight Canadian…
UK retail sales dropped in September, with the measures including fuel as well as excluding fuel falling more than expected. Both the month-on-month series as well as the year-on-year ones declined. Meanwhile, the GfK Consumer…
Highlights Energy Prices & Bond Yields: Surging energy prices are lifting inflation expectations in the US and Europe, while at the same time dampening consumer confidence amid diminished perceptions of real purchasing power. These…