Weekly Comment | Fixed Income
U-turn in Chinese tech stocks triggered by a pledge from the Chinese authority to support the economy and the (global) markets; geopolitical headlines have brought some cautious optimism among investors.
Fed announced a 25bps lift-off and hawkish stance for the rest of the hiking cycle; dynamic between growth and inflation remains a major concern for the market.
Risk is still skewed towards the downside despite the recent rebound. However, in some non-cyclical segments we bought into the current weakness and have slightly increased credit duration.