Aussie bonds rocket departs atmosphere, targets moon

Monday, 25 March 2019

Warp Factor 9 now as the long end of the Aussie bond curve was absolutely plastered to all-time low yields on German recession fears. The short end is headed the same way:

The curve is now inverted right out to the six year with the long end still flattening screaming ‘recession’ at a lunatic RBA:

The spread to the US is still widening and is at new levels at the long end:

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.