Quarterly Outlook
Fixed Income Outlook: Bonds Hit Reset. A New Equilibrium Emerges
Althea Spinozzi
Head of Fixed Income Strategy
Chief Investment Strategist
Summary: The US dollar extended its decline last week as markets continue to price in an end of the Fed tightening cycle after dovish FOMC and softer-than-expected US CPI. FOMC minutes this week could provide a further push to the narrative, although correction looms as market pricing of the Fed could be running ahead. PMIs in Eurozone and UK also key to watch this week but bulk of action could be in Asia with RBA minutes and commentary in focus, Japanese yen gaining and Chinese authorities attempting to keep the yuan stable.