Moderately overweight as we expect pockets of volatility to provide opportunities as central banks seek to cut rates 

Neutral as break-evens provide some protection against the risk of persistent inflationary pressures

Tactically underweight amid strong supply, which could lead to potential indigestion risk, and market positioning becoming structurally long

Neutral since attractive all-in yields and supportive technical are offset by tight spreads 

Cautious positioning as spreads offer insufficient compensation for macro risks, such as high refinancing risks and numerous elections

Neutral, with a preference for higher yielding markets over local China debt

Underweight as yields are not attractive relative to those in developed markets, carry is low and there is limited scope for currency appreciation 

-4

-3

-2

-1

0

+1

+2

+3

+4

DM sovereign

Inflation-linked

Corporate IG

Corporate HY

EM hard currency

EM local currency

China local currency

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+4

+3

+2

+1

0

-1

-2

-3

-4

China local currency

EM local currency

EM hard currency

Corporate HY

Corporate IG

Inflation-linked

DM sovereign

Underweight as yields are not attractive relative to those in developed markets, carry is low and there is limited scope for currency appreciation 

Neutral, with a preference for higher yielding markets over local China debt

Cautious positioning as spreads offer insufficient compensation for macro risks, such as high refinancing risks and numerous elections

Neutral since attractive all-in yields and supportive technical are offset by tight spreads 

Tactically underweight amid strong supply, which could lead to potential indigestion risk, and market positioning becoming structurally long

Neutral as break-evens provide some protection against the risk of persistent inflationary pressures

Moderately overweight as we expect pockets of volatility to provide opportunities as central banks seek to cut rates 

Underweight as yields are not attractive relative to those in developed markets, carry is low and there is limited scope for currency appreciation 

Neutral, with a preference for higher yielding markets over local China debt

Cautious positioning as spreads offer insufficient compensation for macro risks, such as high refinancing risks and numerous elections

Neutral since attractive all-in yields and supportive technical are offset by tight spreads 

Tactically underweight amid strong supply, which could lead to potential indigestion risk, and market positioning becoming structurally long

Neutral as break-evens provide some protection against the risk of persistent inflationary pressures

Moderately overweight as we expect pockets of volatility to provide opportunities as central banks seek to cut rates 

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