CIO Market Pulse – Big Bond Bear
CIO Market Pulse – Big Bond Bear Initial wave of Treasuries sell-off triggered by energy prices and fiscal sustainability concerns; Second wave driven by technical factors as funds with sizea...
Chief Investment Office - Hong Kong5 Oct 2026
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CIO Market Pulse – Big Bond Bear

  • Initial wave of Treasuries sell-off triggered by energy prices and fiscal sustainability concerns; Second wave driven by technical factors as funds with sizeable MBS exposure disposed of Treasuries.
  • Robust AI capex-driven earnings growth continues to offset valuation pressure from surging yields; Hedge against equity downside risks if earnings momentum falters.
  • NVIDIA’s expanding buyback capacity, robust free cash flow, and efforts to broaden GPU-backed financing reinforce confidence in sustained AI infrastructure investment and the wider upstream ecosystem.
  • Continued MAS support, liquidity injections, and attractive yield spreads over bonds underpin a constructive outlook for Singapore equities.
  • Structural corporate USD selling, driven by a widening current account surplus, anchors RMB outperformance; Backed by PBOC tolerance and rising growth optimism, USD-CNH is on track to break below 6.7000.

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