Article Global Fixed Income Strategy Monthly Report | August 2026

11 August 2026
The landmark of Toronto CN Tower rising straight up alongside compact corporate skyscrapers in sunrise.

Get an analysis of important drivers of global fixed income markets, including macroeconomic trends, interest rates, currencies, and credit, in our monthly global strategy report.

In this edition:

Global macro strategy

Are developed markets overpricing rate hikes? We believe they are, making developed market short-term yields look attractive.

Global credit strategy

Emerging markets have become more resilient to external shocks following two decades of reforms. We highlight four countries where ongoing reforms are strengthening resilience amid the recent energy shock.

Interest rate outlook

Overweight: China
Neutral: Australia, Europe, UK, and US
Underweight: Japan 

Currency outlook

Overweight: Chinese renminbi and US dollar 
Neutral: Australian dollar and Japanese yen
Underweight: British pound and euro

Thoughts from our Investment Grade Desk

The team discusses less US Federal Reserve forward guidance, elevated yields, and a sharpening focus on hyperscaler issuance.

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Fixed Income solutions

Discover Invesco's diverse fixed income strategies, combining global expertise and innovative solutions to meet your investment needs.

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  • Investment risks

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    Important information

    This is marketing material and not financial advice. It is not intended as a recommendation to buy or sell any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication.

    Views and opinions are based on current market conditions and are subject to change.