By William McInnes


The US Federal Reserve meeting this week is looming as a key obstacle for the value rotation, with investors awaiting any commentary on the sharp rise in long-dated bond yields that has supported value and cyclical stocks.

In early March, Fed chairman Jerome Powell played down concerns over the rise in rates, however, he could use this week’s meeting to stem the bond sell-off. The two-day meeting concludes about 6am AEDT on Thursday.

“This week will be incredibly important because the Fed is meeting and the bond market is playing some cat and mouse with the Fed at the moment,” said Paradice Investment Management portfolio manager David Moberley during a Future Generation investor call.

Read more in the Australian Financial Review.

Back to blog