Search Results for: bond

Bond Flows Favorable market conditions and the current interest rate environment have created an attractive landscape for bank loan funds, driving robust inflows. Image: Deutsche Bank Asset Allocation

Equity, Bond, FX and Oil Volatility Premiums Volatility premiums have significantly declined across asset classes after the U.S. elections. As election results become known, market uncertainty diminishes, leading to lower volatility premiums and increased stability. Image: Deutsche Bank Asset Allocation

U.S. Bond Yields The era of ultra-low interest rates that followed the 2008 financial crisis should be seen as a historical anomaly. It is unlikely that U.S. bond yields will return to their post-crisis lows. Image: Gavekal, Macrobond

Weekly Bond Fund Flows Over the past week, long-term bond funds have experienced significant inflows, indicating a shift in investment strategies amid changing economic conditions and expectations of lower interest rates. Image: Deutsche Bank Asset Allocation

IG Bond Flows Investment-grade corporate bond funds continue to attract investors, resulting in the biggest 5-week inflow. Image: BofA Global Investment Strategy

Spread Between BBB-Rated Corporate Bond Yield and 90-Day U.S. Treasury Bill Yield The recent increase in the spread between IG credit yield and cash yield marks a significant shift from a 43-year low. Should investors favor U.S. Treasury bills over IG bonds? Image: BofA Global Investment Strategy

Bond Volatility – MOVE Index The MOVE index, indicating the implied volatility of U.S. Treasury options, has recently reached its highest level since January 2024, suggesting possible shifts in broader financial markets. Image: The Daily Shot

U.S. Treasury Bond Future – 10Y Futures Positions Speculators have significantly increased their short positions in U.S. Treasury 10Y futures, reflecting a strong bearish sentiment among traders. Image: Deutsche Bank Asset Allocation

U.S. Long Term Government Bonds (+15y) Rolling 10-Year Annualized Returns Long-dated U.S. Treasury 10-year returns are currently nearing 62-year lows, raising questions about the potential for better returns in the future. Image: BofA Global Investment Strategy

Bonds Flows The persistent flow into global bond ETFs highlights a shift in investor strategy, prioritizing fixed income assets as a hedge against market volatility and as a means to secure higher yields. Image: J.P. Morgan

Equities vs. Bonds Recent trends suggest that the risk/reward profile of bonds, particularly U.S. Treasuries, has become more favorable compared to equities. Image: Gavekal, Macrobond