International News 26 January 2026
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BofA Warns the Era of “Anything But Bonds” Has Begun
Bank of America has raised a red flag for bond investors, saying the long-standing role of bonds as a portfolio safe haven is breaking down. In its latest Flow Show note, BofA equity strategist Michael Hartnett declared that the era of “anything but bonds” has begun, arguing that long-duration government bonds have suffered unprecedented losses. He described the early 2020s as a period of “bond market humiliation,” citing data such as the iShares 20+ Year Treasury Bond ETF plunging 31% in 2022 and falling nearly 48% from its 2020 peak to the end of 2025. According to Hartnett, bonds have failed in their core function as shock absorbers, forcing investors to rethink how they manage risk across equity markets. Looking ahead, BofA expects the second half of the decade to favor international stocks, emerging markets, commodities, and gold, driven by a weaker U.S. dollar and reflation outside the United States. Hartnett warned that AI-heavy megacap stocks that dominated recent years could lose leadership, while small- and mid-cap stocks may benefit from reshoring and industrial rebuilding trends. With the U.S. dollar index down about 9% over the past year, BofA sees a structural shift underway that challenges the traditional investor playbook and diminishes bonds’ role as a hedge in diversified portfolios.
Singapore Commits Over US$778 Million to Public AI Research by 2030
The Singapore government will invest more than S$1 billion (about US$778.8 million) in public artificial intelligence (AI) research through 2030 to strengthen its global competitiveness. The Ministry of Digital Development and Information said the funding will prioritize building responsible and resource-efficient AI, developing national talent from pre-university to tertiary levels, and supporting industry adoption and deployment of AI. Part of the funds will also go toward enhancing capabilities that help businesses integrate AI into their operations. This move builds on earlier investments, including S$500 million in 2024 to secure high-performance computing resources and over S$500 million allocated to AI R&D via the national AI Singapore program. In 2023, AI Singapore released an open-source large language model, Sea-Lion, funded with S$70 million and adopted by companies such as Indonesia’s GoTo. The latest version, launched in October 2025, is based on Alibaba’s Qwen model and enhanced for multiple Southeast Asian languages, including Indonesian, Malay, Thai, Vietnamese, Tamil, and Filipino.
https://internasional.kontan.co.id/news/singapura-investasi-us-7788-juta-untuk-riset-ai
Trump Threatens 100% Tariffs on Canada Over Potential China Trade Deal
U.S. President Donald Trump has warned Canada that he will impose 100% tariffs on all Canadian imports if Ottawa moves forward with a trade agreement with China. In a post on Truth Social quoted by Reuters, Trump said he would not allow Canada to become a “shipping hub” for Chinese goods entering the United States, accusing Beijing of seeking to use Canada to bypass U.S. tariffs. He also claimed China would “destroy” Canada’s businesses, social order, and way of life if such a deal were made. The warning follows remarks by Canadian leader Mark Carney, who recently described China as a reliable and predictable partner during a visit to Beijing and encouraged European leaders in Davos to seek Chinese investment. Tensions between Washington and Ottawa have escalated in recent days, with Trump withdrawing Canada’s invitation to join his proposed Peace Council initiative after Carney criticized powerful countries for weaponizing economic integration and using tariffs as bargaining tools at the World Economic Forum.