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On June 5, Goldman Sachs stated that strong demand from pension funds and insurance companies will support corporate bonds, shielding them from macroeconomic headwinds and record issuance levels. "Although the reality has undoubtedly become more severe, spreads have narrowed to pre-war levels," said Amanda Lynam, Goldman Sachs' Chief Credit Strategist, in the Bloomberg Industry Research Credit Edge podcast. "This is the unsettling tension currently in the credit market." In addition to rising fuel and other input costs due to the Iran war, U.S. companies are facing high inflation, increased debt financing costs, consumer pressure, and the risk of slowing economic growth in the U.S. Meanwhile, the supply of investment-grade bonds is expected to reach a historic peak this year. Goldman estimates that pension funds and insurance companies hold over $6.4 trillion in U.S. corporate credit bonds, accounting for about 40% of the market. Lynam noted that the funding level of corporate pensions has reached its highest since 2007, potentially increasing their holdings of high-quality credit bonds. Additionally, she pointed out that insurance companies' allocation to fixed-income assets is 10 percentage points lower than in 2010, indicating they still have room to increase their positions.

On June 5, as the U.S. non-farm employment data is about to be released and uncertainty regarding the war with Iran remains high, the dollar has seen a slight decline. Michael Pfister from Deutsche Bank stated in a report that after months of weak job growth, the labor market appears to be stabilizing, and Friday's data may exceed expectations, with an increase of 100,000 jobs in May. 'The key factor for the dollar is to what extent this data enhances market expectations for further interest rate hikes.' Meanwhile, U.S. President Trump stated that the U.S. does not need to reach an agreement with Iran to obtain the country's enriched uranium, while Hezbollah rejected a U.S.-backed ceasefire agreement between Israel and Lebanon. The DXY dollar index fell by 0.6% to 99.352, although it remains close to the nearly two-month high of 99.552 reached on Wednesday.

Governor Malhotra of the Reserve Bank of India: The European Central Bank's swap quota is restricted to public sector enterprises because these companies primarily serve public utilities and infrastructure sectors.