ASX closes flat; Miners surge, Costa sinks
Save
Share
Alex Gluyas
A rally in bond prices has provided fund managers the opportunity to capitalise on a burst of interest in technology stocks before a pivot in central bank policy pushes yields higher, and instigates a rotation away from growth and into value, strategists say.
GSFM adviser Stephen Miller.
Andrew Quilty
The ongoing dovish commentary from the US Federal Reserve reiterating that inflationary pressures are transitory has supported a bounce back in tech stocks over the past week, but not necessarily a sustainable one.
“A concerted effort from key Federal Reserve speakers, who have sought to cast any inflation as transitory, appears to have worked, as bond yields have retreated from their highs and equity markets have ground out rallies,” said GSFM investment strategist, Stephen Miller.