Investors raise bets on Fed making two rate cuts

Investors are betting for two rate cuts by the Fed on rising US economic growth concerns. Source: Financial Times Investors have increased bets that the Federal Reserve will cut US interest rates not once but twice this year, to counter concerns about slowing global economic growth that have been inflamed by the worsening US-China trade…

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A $3 Trillion Bond Beast Runs the Show in Europe

Quantitative easing is the gift that keeps on giving: ECBs bond stockpile helps keeping sovereign yields at record low levels even after it stopped additions. Source: Bloomberg It’s been a surprisingly good year for Europe’s government bond markets. Yields are down across the board even though the European Central Bank is no longer adding to…

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Bond Traders Need to Up Their Game as AI Systems Get Smarter

Fixed Income portfolio managers and traders are seeking a competitive advantage by investing in AI. Source: Bloomberg Money is pouring into artificial intelligence in bond markets, challenging bankers and investors to adapt their skills in everything from issuing to trading securities. Fintech startup Nivaura is investing in technology to automate debt sales. Dutch bank ING…

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‘Big Short’ investor Steve Eisman is worried about the bond market: ‘It’s where the pain will be’

Steve Eisman of “The Big Short”, thinks the bond market will be hit the hardest in the next recession, specifically BBB and high yield debt Source: CNBC Steve Eisman, the investor known for predicting the financial crisis as depicted in “The Big Short” book and movie, thinks the bond market will be hit the hardest…

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Local Bonds Are All the Rage in EM as Investors Buy Up ETFs

Federal Reserve’s dovish stance and US – China trade talks have increased demand for Emerging Market Local Government Debt Source: Bloomberg If investors wanted evidence that demand for local-currency bonds isn’t fleeting, here it is: The biggest exchange-traded fund tracking local debt in emerging markets has seen 17 weeks of inflows. The $9.7 billion iShares…

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The Rise Of The Technology Infrastructure Sector In The Municipal Bond Market

The Rise Of The Technology Infrastructure Sector In The Municipal Bond Market Source: Forbes Technology as infrastructure is rapidly emerging as both a sector and credit factor unto itself in the municipal bond market. Those states, cities, counties and towns applying technology to assess and deliver services more efficiently and effectively are positioning themselves to…

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