London — Calm returned to global markets on Tuesday as a steadier day for Europe and Asia’s bourses and a tick higher in benchmark bond yields helped ease nerves after a jarring few days dominated by recession worries.
“The world is looking to fade the risk aversion caused by the inversion of the [US] yield curve,” said Société Générale strategist Kit Juckes, adding that it was difficult to position for a hypothetical recessions anyway. Wall Street was expected to start higher later although it was the bond market that was the principle focus there too. Investors have been spooked by sharp falls in US bond yields and an inversion of the US treasury yield curve, which is widely seen as an indicator of an economic recession.
Fed funds rate futures are now fully factoring in a rate cut later this year, with about an 80% chance of a move priced in by September.The euro stood firm at $1.1305, having gained a tad on Monday after Germany’s IFO Institute said its business climate index rose to 99.6, beating a consensus forecast of 98.5 and ending six consecutive months of decline.
Finance Finance Latest News, Finance Finance Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: SABC News Online - 🏆 32. / 51 Read more »
Source: BDliveSA - 🏆 12. / 63 Read more »
Source: City_Press - 🏆 7. / 72 Read more »
Source: ewnupdates - 🏆 30. / 53 Read more »
Source: BDliveSA - 🏆 12. / 63 Read more »