The following audio episode  provides an in depth discussion of this weeks news from "The Edge".

 

 

 🟡 The Weekly Edge – 24th April 2025

Gray Zones, Gold Rushes & Global Bond Backflips
Brought to you by the team at Gilt Investments

Welcome back to The Weekly Edge, where we help you navigate the fixed-income maze without losing your bearings—or your breakfast. And if last week was a tremor, this week delivered a tectonic shift.

Currencies are swinging like trapeze artists. Gold has smashed its way past $3,400 an ounce. Bond markets are acting more like crypto—volatile, unpredictable, and just a little bit unhinged.

This is not normal. This is not boring.
And it’s exactly why The Edge exists.

🎯 Trade Tactics & Tariff Gymnastics

This week’s geopolitical headline reads like a spy novel: China is outmaneuvering tariffs through “gray trade” routes—sending partially disassembled products to places like Vietnam and Mexico to avoid stiff levies. It’s legal. It’s clever. And it’s massive in scale.

Why?
Because this isn’t just trade policy—it’s economic survival. China is defending 10–20 million export-linked jobs.

Meanwhile, the U.S. is lobbing port fees, Trump is pressuring the Fed via tweet, and markets are left trying to figure out if this is chaos… or strategy in disguise.

🟡 Gold Glows, Bonds Burn

This was the week safe havens lost their name tags.

• The U.S. 10-year yield spiked to 4.4%.

• Bond prices tumbled.

• Gold surged above $3,400/oz.

• Equities, bonds, and the USD all fell—together.

Investors didn’t rotate—they retreated. U.S. equity funds saw $10B in outflows. Capital flooded into European and Asian equities, Swiss francs, and—you guessed it—gold bricks.

Why?
It’s not about inflation anymore. It’s about trust. And trust is bleeding out of U.S. Treasuries and into tangible, liquid alternatives.

🇦🇺 Aussie Bonds: Holding or Cracking?

Back home, Aussie 10-years are holding ground—hovering in the 4.25–4.35% range. But the surface calm is hiding some deep shifts.

• Credit spreads are widening

• Risk premiums are returning

• Labor data is soft (52,800 jobs lost last print)

• APRA is tightening its grip on non-financial risks

Aussie bond managers are no longer just watching the RBA—they’re tracking Powell, trade manifests, and every hint of capital flight across Asia.

We’re no longer a sideshow. We’re part of the main act.

💡 Final Takeaways: Strategy Over Hope

This week proved one thing loud and clear—hope is not a hedge.

• Gray trade tactics are now mainstream.

• Safe havens can go rogue.

• Gold is no longer a hedge—it’s a headline.

• Australia’s resilience is real—but fragile.

The edge goes to those who adapt.
And if your strategy still relies on yesterday’s models, you might be trading blind.

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Stay nimble. Stay informed. Stay steady.
We’ll see you next week on The Weekly Edge.

— Brought to you by the team at Gilt Investments

 

Disclaimer

This publication has been prepared by Gilt Investments Pty Ltd and is for informational purposes only. It contains general financial product advice that does not take into account your personal objectives, financial situation, or needs.

Before acting on any information contained herein, you should consider whether it is appropriate for your circumstances and seek independent professional advice.

While every effort has been made to ensure the accuracy and reliability of the information provided, Gilt Investments, its directors, employees, and agents make no representations or warranties, express or implied, as to the completeness, timeliness, or accuracy of the content. Any opinions expressed are subject to change without notice.

Gilt Investments disclaims all liability for any loss or damage arising from reliance on the information contained in this report. Past performance is not indicative of future results, and all investments involve risk.