Rishi Sunak vs GILTs, Credit Suisse & Freeing the Bird - Global Markets October Monthly Review
Updated: Feb 15
Liz Truss resigned after a mere 44 days - the shortest in the entire history of the United Kingdom. Her government's finance minister's tax cuts ideas were rebuked by the UK Bond Markets, with the 30y Benchmark GILT yield almost reaching 5%. Now with Rishi Sunak as the succeeding prime minister, will the bond vigilantes approve of him? Credit Suisse brings back their "First Boston" with the hopes of a turnaround in their US Investment Banking business, and posted losses of USD 4bn, prompting its market value to dip below USD 10bn - a small to mid cap range for a listed company. Elon Musk has finally completed his purchase of Twitter - and consummated the deal by bringing a sink into Twitter's headquarters - let that sink in. Finally, recession woes are growing as the ECB is finally catching up with the hiking cycle.