Arkèa AM sees bond yields staying elevated on resilient macro data
TLT•Arkèa Asset Management said sovereign bond curves remained elevated as activity data stayed firm and inflation expectations exceeded central-bank targets. US manufacturing PMI was 57.0 in September, while jobless claims fell to 197,000.
1. Yields and market signals
Arkèa Asset Management flagged a tactical rebound in equities, supported by hopes of a US-Iran diplomatic thaw easing risks to Hormuz transit. Sovereign bond curves stayed elevated despite brief front-end relief, with firm activity data and inflation expectations above central-bank targets pressuring bonds. Brent rose to $105 a barrel on Middle East flow risks, while WTI fell 5.9% to $92.70 on possible US diesel export limits. Euro zone 12-month household inflation expectations edged up to 3%, and early signs of fragility emerged in credit.
