Hotter US Inflation Adds to Market Pressure

US inflation surprises to the upside and UK political instability are driving a global bond sell-off and risk-off sentiment in equities. Brent oil remains high at $107/bbl as diplomatic progress stalls.

Key Takeaways

• 1.Hotter than expected US core CPI (0.38% m/m) is forcing markets to reprice the monetary outlook, scaling back easing expectations.
• 2.The UK Gilts market is experiencing a significant sell-off driven by political tensions within the Starmer government.
• 3.Global energy markets remain volatile with Brent trading above $107/bbl due to lack of diplomatic progress and supply uncertainty.

Table of Contents

• MARKET LINES
• Rates
• FX
• Equities
• Credit
• HIGHLIGHTS
• DAY AHEAD
• MARKET RECAP
• INDUSTRY NEWS
• RESEARCH HIGHLIGHTS
• RESEARCH LATEST FORECASTS
• RESEARCH EVENTS

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial