The US’s decision to sell euros to support Japan’s currency without warning European policymakers is adding to geopolitical risks and further dimming the appeal of longer-maturity government bonds, according to BlackRock Inc.
The yen surged against a weaker dollar after an unexpectedly soft US payrolls report on Friday, with traders on alert for any sign authorities were preparing to intervene in the Japanese currency again.
The yen’s rally following joint US-Japan intervention has likely run its course, according to currency strategists, who say market expectations of a Federal Reserve interest-rate hike this year are set to support the dollar.
Jordan Rochester, who made his name as one of Britain’s most recognized financial commentators during the country’s split from the European Union, has left Mizuho Bank Ltd. to pursue a position in Dubai.
The pound’s rally is at risk from the new UK government’s still unclear fiscal plans as well as the potential for fewer interest-rate hikes eroding the currency’s high-yield appeal.
Japan may have to shift its focus from supporting the yen toward controlling government bond yields if it is to achieve its ambitious economic growth plans, according to Deutsche Bank AG.
UBS Asset Management’s Kevin Zhao is planning to short Treasuries in a bet that the robust US economy will erode the haven appeal of owning government debt.
Some sovereign debt chiefs are warming up to the growing footprint of hedge funds in government bond markets, casting these investors as potentially beneficial participants rather than a source of risk.
The Bank of Canada building in Ottawa, Ontario, Canada, on Wednesday, Oct. 29, 2025. The Bank of Canada cut interest rates as it sees damage from US tariffs persisting, but signaled that borrowing costs are roughly at the right place as long as its forecasts materialize. Photographer: David Kawai/Bloomberg
Asset manager Schroders is buying Italian government bonds, arguing the country has already weathered the budget and political turmoil now rattling investors in other European nations and the US.
Global bond yields hovered near multiyear highs as rising energy prices stoked inflation concerns.
Mount Fuji and the Shinjuku skyline at sunset in Tokyo, Japan, on Friday, Feb. 14, 2025. Japan is scheduled to release its fourth-quarter gross domestic product (GDP) figures on Feb. 17. Photographer: Kiyoshi Ota/Bloomberg
Even before the Iran war, Fidelity International portfolio manager Mike Riddell was skeptical of the view that global price pressures were subsiding. His contrarian bet — that inflation was set to rise — is now paying off handsomely.
UK bonds were swept up in another selloff as investors grew increasingly anxious about Britain’s finances, given the risk of fresh challenges to Prime Minister Keir Starmer’s leadership.
Prime Minister Keir Starmer during a speech in London, on May 11.
UK bonds were swept up in another selloff as investors grew increasingly anxious about Britain’s finances, given the risk of fresh challenges to Prime Minister Keir Starmer’s leadership.
Prime Minister Keir Starmer during a speech in London, on May 11.
UK government bonds posted a relief rally after Prime Minister Keir Starmer vowed to stay in his job despite deep local election losses, with investors set to focus on any fallout on his leadership in coming weeks.
Keir Starmer meets Labour Party members in Ealing, west London, on May 8.
UK government bonds posted a relief rally after Prime Minister Keir Starmer vowed to stay in his job despite deep local election losses, with investors set to focus on any fallout on his leadership in coming weeks.
Keir Starmer meets Labour Party members in Ealing, west London, on May 8.