Income & Fixed Interest Newsletter – February 2018
The February flash crash served as a warning shot to the market to expect further volatility ahead. The goldilocks narrative of strong growth with benign inflation morphed into ugly inflation and deficit concerns in the US, driving bond yields higher which dragged equity markets lower. Within five trading sessions, the S&P 500 index undid the melt-up of the first three weeks of the year, and by the close of the 8th of February, the market was down over 10% from the peak.
In this Newsletter I take a close look at how global FX markets have been behaving and delve deeper into the prevailing narratives currently underpinning a bidless environment for the US dollar.
View the newsletter here.
This article has been prepared by Pendal Fund Services Limited (PFSL) ABN 13 161 249 332, AFSL No 431426 and the information contained within is current as at March 14, 2018. It is not to be published, or otherwise made available to any person other than the party to whom it is provided.
This article is for general information purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It has been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on this information, consider its appropriateness having regard to their individual objectives, financial situation and needs. This information is not to be regarded as a securities recommendation.
The information in this article may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information in this article is complete and correct, to the maximum extent permitted by law neither PFSL nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information.
Any projections contained in this article are predictive and should not be relied upon when making an investment decision or recommendation. While we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections.