00:00What's the catalyst for yields to fall now? Is it just solely driven by oil or actually could
00:04it be something like less good data coming through? I think it's a combination of both.
00:08So we've looked at periods where the 10-year yield rises by more than 100 basis points,
00:14which is essentially what we've seen. We've seen from the lows to now 100 basis point move higher
00:19in yields. Typically things start to peter out there and it happens because over the course of
00:27that move higher in yields, you get that reset higher in expectations, that setting the bar higher.
00:33And then you start to see more organically some of those data surprises start to normalize. The bar
00:40gets set too high and inevitably you start to see some downside surprises and that's what comes
00:46to stabilize the market. Does this call extend across developed markets or does it end at Europe?
00:51I think it's fairly correlated right now across developed markets. So I think about Europe,
00:57I think about Japan, I think about Australia. They have different dynamics. There are reasons to
01:04maybe like one incrementally more than the other, but they're all trading in a very correlated fashion.
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