Bond

• Asian stock markets rose, with South Korea’s KOSPI gaining 1.5% and Singapore’s Straits Times Index increasing by 0.7%, as bond yields retreated and oil prices steadied. • Mitsubishi Corp climbed nearly 5% and financial stocks advanced following comments from Berkshire Hathaway CEO Greg Abel, who reaffirmed the firm's long-term commitment to Japanese investments. • The rally is driven by Berkshire Hathaway's existing 10%+ stakes in major Japanese trading houses and signals that the conglomerate may further increase these holdings.

• Stock markets rallied and bond yields declined following comments from Federal Reserve Governor Christopher Waller, who signaled a patient approach toward interest rate adjustments. • The market reaction reflects investor optimism that the Fed may avoid aggressive rate hikes in the immediate future. • Investors are now closely monitoring the upcoming U.S. monthly jobs report to gauge the current strength of the labor market.

• Italian 10-year government bond yields are rising in tandem with European natural gas prices, creating a feedback loop where high energy costs drive inflation. • The European Central Bank (ECB) is expected to hike interest rates at its next meeting and again by December to counter persistent inflation. • This situation is critical because rate hikes do not resolve energy supply shortages and may stifle demand within an already fragile European economy.

• European stocks trended upward as the recent global bond selloff began to ease, providing a boost to equity markets. • In the commodities sector, gold prices climbed above $4,400, driven by a weaker U.S. dollar and falling yields that renewed investor demand for bullion. • Oil prices experienced a decline following a three-session rally, influenced by Donald Trump downplaying the risk of war with Iran and an increase in flows through the Strait of Hormuz.

Swap rates rise to three-year high as increase in oil prices leads to fears of higher inflationBusiness live – latest updatesHomeowners in the UK are braced for a jump in mortgage rates, driven by higher inflation and interest rate increase expectations amid turmoil in the global bond markets.UK swap rates, which lenders use to price mortgages, have risen to a three-year high, as this week’s global bond market sell-off ripples through the economy. Continue reading...

• Asian stock markets rose, with South Korea’s KOSPI advancing 1.5% and Singapore’s Straits Times Index gaining 0.7%, as bond yields retreated and oil prices steadied. • Mitsubishi Corp climbed nearly 5% and financial stocks surged following comments from Berkshire Hathaway CEO Greg Abel, who reaffirmed the firm's long-term commitment to its Japanese investments. • The rally was bolstered by Berkshire Hathaway's existing 10%+ stakes in major Japanese trading houses and signals that the conglomerate may increase these holdings.

• European shares declined as investors reacted to rising bond yields and growing concerns over energy-driven inflation. • The retail sector was particularly hard hit, falling 2.3%, while Italian betting firm Lottomatica tumbled 7.7% following the announcement of its takeover of Spain’s Cirsa. • Despite the broader market dip, the mid-term outlook for European banks remains positive due to resilient manufacturing investments and steady loan growth.