Every week we give you our summary of happenings in the bond market.
Combing through the usual heap of market noise last week, the following caught our attention at Futuregrowth; as a bond manager, the fact that US wages are finally showing signs of life had been of particular interest. Aligned with this is growing evidence of a more broad based global economic recovery that is gaining momentum. All this feeds into our global bond bearish stance. Leaving a wry smile on our faces is the hawkish and frank message contained in the SA Reserve Bank’s Monetary Policy Review. Now that’s the way we like our central bank: an objective inflation hawk.