Hard to agree on whether the US bonds become too expensive or not… | MarketTalk: What’s up today? | Swissquote

Show notes

The World Bank said yesterday that it expects growth to fall to 2.2% for the period that includes 2020 and 2024 and that’s the slowest 5-year period since 1990-1994. The slowing global growth expectations somehow keep the global yields subdued, but at 4% yield, the US 10-year bond is expensive and may not have much upside potential left unless fresh data points at softening activity, and ideally a further weakness in consumer prices.
The S&P500 and Nasdaq consolidate a touch below the December high – and both very close to their ATH. The uncertainty and the lack of clear direction will likely be on the menu until the US inflation report is released tomorrow.
In the FX, the dollar index is better bid before tomorrow’s US inflation report, the AUDUSD is softer after the data showed that Australia’s inflation fell to 4.30%, crude oil rebounded 2% and Bitcoin gave back a part of gains as SEC said that its X post about the approval of spot Bitcoin ETF was fake.
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