2019 Top 400 ranking: 161
While we are happy to see wage growth finally accelerating (finally), we think it may be too soon to conclude on the ending from one recent data point.
While the one-month spike in wage inflation spooked the bond market, we believe wage inflation will continue on a gradual recovery path.
While trade frictions attracted the most attention, the primary and outsize drag on global growth in 2018 was the self-imposed slowdown China began in mid-2017. Intended as a gentle cooling, the deleveraging and derisking program overshot; China’s private sector — 60% of its economy — iced up.
Credit spreads came under pressure in November from issues plaguing markets throughout the year — geopolitical worries about Italy and Brexit, expectations of slower growth and inflation, US-China trade tensions, and a hawkish Fed.
Fixed Income Asset Allocation Insights is a monthly publication that brings together the cross-sector fixed income views of PineBridge Investments.
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