Fixed Income Markets: The Week Ahead Fixed Income Markets: The Week Ahead Fixed Income Markets: The Week Ahead

Fixed Income Markets: The Week Ahead

Althea Spinozzi

Senior Fixed Income Strategist

Summary:  We are starting an important week full of central banks meetings. Watch out for sovereigns tightening further, with US Treasuries and Gilts leading the way.

Monday14th of September

CSPP data purchases numbers today will give evidence of scaled-up bond purchases announced last week by the ECB. It will be supportive of the corporate primary market pipeline this week, which is closing in 2019's total.

Wednesday 16th of September

Federal Reserve Policy Meeting: we will be watching whether the FED will give details regarding the framework it will use to reach their new average inflation target. The big question is: will it include in its buying program long term Treasuries? We see further upside for US Treasuries in the short term with the US Yield flattening.

Thursday  17th of September

Bank of Japan: the market is expecting BOJ to keep policy unchanged as the government is in the middle of a leadership transition. It will be important to understand whether, under Yoshihide Suga, there will be any changes within the central bank.

Bank Of England: with Brexit risk arising over the Market Bill, the market is impatiently waiting to see what the BOE is going to do next. At last month's meeting, governor Bailey said that the central bank is not excluding negative rates. Will Brexit's recent developments and a new wave of coronavirus force his hand to cut rates? Gilts yields may fall before inflation resumes. 

Government bond auctions to watch out for:

15th of September: 20-Year Treasury reopening, 7-year and 17-year Gilts reopening

16th of September: 10-year Gilts reopening

17th of September: 10-year TIPS reopening


Credit Spreads are tightening

Itraxx Main: 55bps
Itraxx Crossover: 322bps
Itraxx Senior Financials: 64bps
Itraxx Subordinated Fin: 132bps

CDX Investment Grade: 69bps
CDX High Yield: 357bps
CDX Emerging Markets: 96bps


Saxo Capital Markets (Australia) Limited prepares and distributes information/research produced within the Saxo Bank Group for informational purposes only. In addition to the disclaimer below, if any general advice is provided, such advice does not take into account your individual objectives, financial situation or needs. You should consider the appropriateness of trading any financial instrument as trading can result in losses that exceed your initial investment. Please refer to our Analysis Disclaimer, and our Financial Services Guide and Product Disclosure Statement. All legal documentation and disclaimers can be found at

The Saxo Bank Group entities each provide execution-only service. Access and use of Saxo News & Research and any Saxo Bank Group website are subject to (i) the Terms of Use; (ii) the full Disclaimer; and (iii) the Risk Warning in addition (where relevant) to the terms governing the use of the website of a member of the Saxo Bank Group.

Saxo News & Research is provided for informational purposes, does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. No Saxo Bank Group entity shall be liable for any losses that you may sustain as a result of any investment decision made in reliance on information on Saxo News & Research.

To the extent that any content is construed as investment research, such content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication.

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments.Saxo Capital Markets does not take into account your personal investment objectives or financial situation and makes no representation and assumes no liability as to the accuracy or completeness of the information nor for any loss arising from any investment made in reliance of this presentation. Any opinions made are subject to change and may be personal to the author. These may not necessarily reflect the opinion of Saxo Capital Markets or its affiliates.

Please read our disclaimers:
- Full Disclaimer (
- Analysis Disclaimer (
- Notification on Non-Independent Investment Research (

Saxo Capital Markets (Australia) Limited
Suite 1, Level 14, 9 Castlereagh St
Sydney NSW 2000

Contact Saxo

Select region


The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit

Saxo Capital Markets (Australia) Limited ABN 32 110 128 286 AFSL 280372 (‘Saxo’ or ‘Saxo Capital Markets’) is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms, Financial Services Guide, Product Disclosure Statement and Target Market Determination to consider whether acquiring or continuing to hold financial products is suitable for you, prior to opening an account and investing in a financial product.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Saxo Capital Markets does not provide ‘personal’ financial product advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Capital Markets does not take into account an individual’s needs, objectives or financial situation. The Target Market Determination should assist you in determining whether any of the products or services we offer are likely to be consistent with your objectives, financial situation and needs.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the US and other countries. AppStore is a service mark of Apple Inc.

The information or the products and services referred to on this website may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and Services offered on this website is not intended for residents of the United States and Japan.

Please click here to view our full disclaimer.