Thursday 8th August 2019

Bond yields have been all over the place. US 10 year treasuries fell 10 basis points, before climbing back 11, whilst UK gilt yields hit a record low of 0.43 percent for a spell. NAB’s Rodrigo Catril explains to Phil Dobbie what’s driven this latest bout of volatility. Part of it is the surprise half percent rate cut by the RBNZ yesterday, but really bad industrial production numbers from Germany added to the turmoil. The RBNZ cut has been an inspiration to one man – President Trump wishes the Fed had the gumption to follow in their footsteps. Will China’s trade numbers today add to his agitation?