10th July 2017

Brooks Macdonald: Weekly Market Commentary - 10 July 2017

Watch Investment Director Ed Park's weekly market commentary and read detailed economic and market news from our in-house research team.

Notable events over the last week

Last week marked another sharp sell-off in bonds as the 10-year US Treasury yields traded as high as 2.39% on Thursday, edging closer to the significant 3% mark which could prove problematic for bond market sentiment. 30-year yields are currently just five basis points (bps) shy of their 100-day moving average, and a breach could prompt a renewed wave of selling, while the spread between 5- and 30-year yields is near 95bps, approaching the narrowest level since 2007. Yields have also risen significantly across Europe and Japan with the 10-year German Bund breaking through its 0.50% moving average to close the week at 0.573% and to the highest since January 2016.

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