Event
The U.S. Federal Open Market Committee (FOMC) concluded its two-day meeting on the 1st of November 2023. The meeting discussed the Fed’s monetary policy stance and economic projection.
Key pointers to note in this meeting
5. US treasury yields still remain relatively attractive – With the current high-interest rate environment that we are experiencing, bond yields have been climbing higher. The US 10-year Treasury Yield which is a widely used benchmark/indicator for many investors crossed the 5% range on 19th October 2023 and this is the first time in 16 years since 2007 when it crossed 5.11 in June 2007 (Figure 1). For investors who are looking to lock yields that are trading in the high 4-5% range, this may be a good time to look at US Treasuries as they considered to be among the safest investments in the world, since they are backed by the full faith and credit of the US government and as of 1st August 2023, the credit rating of US government stands at Aaa/AA+/AA+ (Moody’s/S&P/Fitch). US treasury bills are tradable on our POEMS platform. For more information please visit https://www.poems.com.sg/bonds/treasuries/.
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Shawn is a credit analyst who handles bond analysis and research for the fixed income desk. He graduated with a Bachelor of Science in Banking and Finance from the University of London.
