A few weeks ago, analysts at UBS Group painted the worst-case scenario for defaults in the private credit space. Now, their outlook is even more pessimistic. Strategists including Matthew Mish now say that the default rate on private credit could soar to 15%, two percentage points higher than the forecast the firm issued less than […]
Banks such as Deutsche Bank and Wells Fargo have announced that the war-driven safe-haven rally of the US dollar may have come to an end as the fragile ceasefire agreement between the United States and Iran has prompted investors to seek riskier assets. Banks believe it is time to short the US dollar, and global […]
RBA Deputy Governor Andrew Huszar said that the central bank needs to set interest rates within a range that can bring the inflation rate back to the 2-3% target level, and added that the board currently does not have “full confidence” that the inflation rate has reached the target. The Reserve Bank of Australia’s deputy […]
As the conflict in the Middle East intensifies, the United Nations has urged countries not to restrict the transportation of energy and fertilizers, warning that such restrictions in the past have exacerbated the global surge in food prices. The Food and Agriculture Organization of the United Nations said that agricultural inputs must resume flowing through […]
The year-long rally of the Australian dollar against the New Zealand dollar may have peaked, strategists say, as hawkish remarks from the Reserve Bank of New Zealand are boosting the appeal of the kiwi. The New Zealand dollar retreated from a 13-year high on Wednesday after the Reserve Bank of New Zealand revealed that policymakers […]
The war between the United States and Iran has brought about a potentially irreversible pressure on the global trade system. For the first time in decades, gold reserves have exceeded the dollar assets held by central banks after valuation adjustments. It is still too early for the United States and Iran to declare a ceasefire, […]
New Zealand’s central bank governor, Anna Bollard, said on Thursday that if core inflation accelerates due to the soaring fuel prices caused by the conflict in the Middle East, the country’s central bank will respond by raising interest rates. In an interview with Bloomberg Television, Breman said, “The balance of risks regarding inflation has shifted, […]
John Williams, president of the Federal Reserve Bank of New York, said that although he expects the rise in energy costs due to the war in Iran to push up overall inflation, his outlook for underlying price pressures in the United States remains largely unchanged. Williams said in an interview with Bloomberg Television on Tuesday […]
Banks are issuing a record amount of risk transfer bonds at a rapid pace, using the tool to hedge against broader loan risks, including leveraged buyouts and financing. According to data from credit investment firm Crescent Capital, lenders mainly from Europe and North America issued $41 billion in Special Resolution Tool (SRT) bonds in 2025, […]
According to a former chief economist of the Bank of Japan, the war in Iran has heightened the risk of inflation rising, which provides grounds for the Bank of Japan to raise interest rates as early as this month. “If the aim is to assess the situation, I think it’s fine to take action in […]