Fed still on narrow path to soft landing
Recent employment data suggests the US economy may escape with a soft landing, a welcome boost to market sentiment in the early days of 2023, says Eoin Walsh.
Insights Topic
TwentyFour
Are storm clouds gathering over the UK housing market? Part two…
In the second instalment of a two-part blog on the UK housing market, Shilpa Pathak stress tests UK RMBS to determine how high mortgage defaults would have to get before bondholders are impacted.
Is pricing AT1s to call back in vogue?
With the reopening of primary bond markets in Europe being met with strong demand, the AT1 market is seeing an overdue shift away from pricing to perpetuity, says Eoin Walsh
High starting yields to boost IG demand
With fixed income starting yields at their highest level for a decade, George Curtis expects increasing demand for investment grade bonds to boost the market as we enter 2023.
AroundTown: bad call
In our latest blog, Pierre Beniguel looks at the implications of AroundTown’s corporate hybrid non-call and the shock announcement that it will also consider deferring coupon payments.
Nationwide deal highlights surge in ABS interest and income
Higher rates mean the income available on AAA RMBS bonds is eight times what it was at the start of this year, and growing demand for this floating rate asset class is clear, says Kevin Law.
The Rodney Blog 2023: A return to returns
In our annual ‘Rodney Blog’, Eoin Walsh says that with rates now offering both yield and downside mitigation, and credit yields at near-decade highs, fixed income investors could enjoy strong returns in 2023
What everyone is talking about in Switzerland
UBS announced a call of its low-reset 5% Additional Tier 1 (AT1) notes on Monday, showing call risk in the AT1 sector isn’t just a matter of economics, says Dillon Lancaster.
Labour market the driving force for the Fed
Following Chairman Powell’s speech last night, George Curtis looks at what the latest labour market data means for the Fed’s war on inflation.
Highest starting yields since ‘08 predict strong five-year returns
Chris Bowie explains why he believes analysing starting yields can explain improved returns over the next five years
Reasons to be constructive on extension risk
Telefonica’s reopening of the corporate hybrid market is further evidence that large issuers with proven track records and strong financials will call their bonds even if it looks uneconomic to do so, says Johnathan Owen.
Hint of cooling inflation can restore stability
With a US inflation print finally coming in below expectations, can investors start to picture decent returns again? Or will this latest relief rally prove another false dawn?