Our Scans · (FS.5.01) Bond Market · Weekly Summary

• The Public Investment Fund of Saudi Arabia, which manages $1 trillion, plans to issue its first euro-denominated green bond. Winssolutions
• The Swiss Re Global Cat Bond Index has returned 2.77% year-to-date, reflecting strong demand for uncorrelated, high-yield opportunities. Ainvest
• A contraction in U.S. service providers and slower hiring rates sent bond yields lower across the U.S. curve, while swap traders now anticipate two Fed moves by year-end, with the first cut likely in October. Minichart
• Mexico's 10-year bond yield has fallen, signaling a lower perception of risk among international investors. Beyond Borders Gazette
• Bond yields have dipped accordingly, with the 10-year Treasury note yielding around 3.7%, creating opportunities for fixed-income investors seeking yield in a low-rate environment. WebProNews
• Investor Pause on Tariffs / Elections: 50% U.S. tariffs and 2026 election uncertainty delay investments despite 25% M&A rise and bond demand; CNI's Washington push seeks tariff relief to protect jobs and $20 B exports. The Rio Times
• Stock, bond, currency and commodity prices could become more volatile, further slowing the global economy. Desjardins.com
• Eu's smart conditionality threatens to freeze recovery funds, pushing Hungary's 2025 deficit to 1% and widening bond yield spreads by 200 basis points. Ainvest
• Elevated US policy uncertainty and/or a widening of government bond yield spreads in the euro area periphery are additional upside risks. Morningstar, Inc.
• All eyes will be on the most important price in markets, the 10-year US government bond yield. Asset Strategies International
• Ongoing monitoring of default rates and issuer-specific factors will be essential for pension funds evaluating US high yield bond opportunities as spreads are historically tight. AXA IM UK
• Ongoing monitoring of default rates and issuer-specific factors will be essential for pensions evaluating U.S. high yield bond opportunities as spreads are historically tight. AXA IM US
• Following the jobs data, yields on US Treasury bonds fell sharply as markets price in a weaker US growth outlook and expected cuts in Federal Reserve interest rates. ST
• Bond markets are pricing in further economic slowdown and questioning whether the Federal Reserve will now need to cut more aggressively or put the US into recession. Australian Broadcasting Corporation
• We expect pension investors' appetite for emerging markets equities, government bonds, and U.S. high yield bonds to be influenced by a balance of return potential, risk considerations, and diversification objectives in 2025. AXA IM US
• Investors anticipate that more Fed rate hikes will occur in the future as deficits and debt grow, adding to upward pressure on bond yields. The Budget Lab at Yale
• Investors are demanding more compensation for the risk of holding long-term bonds, leading to a steepening of global yield curves. BlackRock
• Investors should monitor the OECD's push for South Korea to develop local currency CAT bonds, which could reduce reliance on foreign capital and offer higher yields. Ainvest
• A Japanese investor can earn more in long-term Japanese government bonds than in 30-year US bonds, whose yields have ticked up over 5%, after deducting the cost of hedging for exchange-rate risks. GoldSeek

Last updated: 21 October 2025