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Testing Times

Apr 26, 2021

2:15 am

• India’s challenges still present a risk to markets • The rally in conventional government bonds has fixed income managers thinking • Equity managers commitment to growth stocks to be tested • ESG in the headlines with Earth day delivering new targets for cuts in emissions • President Biden’s tax raising plans show that some-day…

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The US 10-year bond yield – A Tale of Two Countries

Apr 19, 2021

10:04 am

• Low US 10 year bond yield either discounts trouble for growth, or reflects market inflation complacency • Very recent surge in cases of a new variant of COVID-19 in India a concern for global markets • Meanwhile in the US economy there are signs of potential inflation pressure • Factors that could pressure for…

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Time for Value as Growth and Inflation Arrives

Apr 12, 2021

5:01 am

• Data to show strong growth in the US and China • US headline inflation due to rise at least 100bps • Value stocks to benefit from stronger nominal GDP growth • Dollar’s rise pauses and is still way off where it started last year • The shift to ESG investments gains momentum • Regulatory…

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Rates Unchanged, Liquidity Support Continues

Apr 8, 2021

10:40 am

As expected, the monetary policy committee (MPC) kept rates unchanged and decided to maintain an accommodative stance for as long as needed in yesterday’s monetary policy. The RBI continued its focus on growth by providing liquidity support despite some upside risks to inflation. The RBI also announced measures to reduce bond price volatility like the…

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