Andrew Canobi - Beyond Bulls & Bears

Fixed Income

Looking at Australian Fixed Income Through a Global Lens

“We think the global corporate credit markets could face obstacles in the year ahead. The profit cycle is slowing and some sectors are facing particular pressures.” – Andrew Canobi, Australia Fixed Income team

Andrew Canobi, CFA | March 05, 2019

Fixed Income

Why Australia May Not Join the Rate-Tightening Party

“We don’t think the RBA is likely to raise rates in the next 12-18 months. There is a heavy load on the shoulders of Australian households. Australia’s economy is benefiting from global growth, particularly in China, but that growth would have to be quite significant to reduce household debt or improve wage growth. If these issues don’t improve in the next year or so, we believe the RBA’s next course of action could be a rate cut.” – Chris Siniakov and Andrew Canobi, Australia Fixed Income team

November 14, 2017

Fixed Income

Australian Headwinds May Benefit Yield-Seeking Investors

Since the fundamental determinants of bond yields—economic activity and inflation—are expected to be muted this year, the recent rise in Australian government bond yields presents an opportunity for investors, especially in the short end of the bond curve.

Chris Siniakov | January 15, 2017

Fixed Income

Why Investors Yield to Australia’s Bond Market

We believe the RBA doesn’t feel the need to act on its easing bias because the Australian economy remains reasonably healthy, albeit at a pace of growth that is at the lower end of what policymakers would like to see.

Andrew Canobi, CFA | April 25, 2016

Fixed Income

Australia and Higher US Interest Rates

Market watchers have long anticipated the (US) Fed’s move, but the reality of a world confronted with higher interest rates may present a significant test for many investors.

Andrew Canobi, CFA | December 17, 2015

Australia: Too Much Reserve on Interest Rates?

In our view, the Reserve Bank of Australia would prefer not to lower interest rates from the 2% level unless conditions deteriorate and warrant further stimulus.

October 09, 2015

The Commonwealth & Commodities: Australia, Canada and New Zealand

In much the same way that elevated terms of trade benefitted past growth, the recent drop in commodity prices has acted as a strong headwind to future growth.

May 19, 2015

Income-Seeking Australians Search for Yield

Instead of chasing yields or returns, bond investors, in our view, should pause and consider how to best construct an investment strategy with the goal of delivering optimal risk and returns to better complement their overall portfolios.

December 18, 2014