Inflationary pressures persist into 2027, posing a policy challenge to long positions in bonds.

The global economy faces a situation of both resilient growth and sticky inflation, with 31 economies raising their 2027 inflation forecasts. International oil prices remain above $100 per barrel, and energy shocks are increasing the difficulty of central bank policy. Indian refineries are adjusting their crude oil sourcing due to freight costs, and BPCL expects to reduce Russian oil imports in November. The Federal Reserve is expected to keep interest rates unchanged this week; if Fed Chairman Kevin Warsh releases hawkish signals, bond long positions may face liquidation (Source: Reuters).