All Fixed Income articles – Page 43
-
White papersGlobal Macro Outlook - First Quarter 2023
After a year defined by inflation and the policy response to it, we expect 2023 to be a year of transition. The timing of that transition, however, remains unclear and is likely to be defined by the amount of damage done to the economy by this tightening cycle.
-
White papers2023 Outlook: Long-term perspective on markets and economies
There’s a new reality taking shape in global markets.
-
PodcastWhat Goes Up Must Come Down…Right?
As we wrap up on the past year, many would agree that the predominant market trend that impacted investors would have to be inflation. In 2022, inflation levels rose to the highest we have seen in four decades. How did we get here?
-
White papersGlobal Investment Views - January 2023
The bear market rally materialised, but strong US November job market data cooled the markets’ dovish narrative, creating a mixed picture for US inflation, given that the service components remain sticky. The Fed, for its part, slowed the pace of rate hikes, but reiterated that its job is far from over. We believe central banks, including the ECB, will be walking a policy tightrope, as risks of mistakes are high.
-
White papersEmerging Markets Debt: Springtime in January?
With the inflation and geopolitical fogs around the world dissipating, and a monetary policy pivot potentially in the cards, 2023 is shaping up to be a promising year for emerging markets debt.
-
White papersMore Complicated From Here
If you thought this year was difficult, just wait. The good news is that the extreme outcomes investors worried about through most of 2022 look less likely for 2023.
-
White papersWhat Jerome Powell Really Wants for Christmas
Jerome Powell surely has a holiday wish list, especially facing a new year of slower growth, rising prices and inverted yield curves.
-
BlogYield is Destiny; Bonds are Back
Bond investors shouldn’t lose sight of the fact 2022’s historic increase in bond yields could lead to bond returns in the next decade that are two to three times higher than the prior decade.
-
White papersTreasury yields fall as the Fed hikes once more
U.S. Treasury yields fell last week. The November U.S. CPI report showed a smaller-than-expected monthly increase. The U.S. Federal Reserve delivered a 50 bps hike as expected, but also included hawkish economic projections that called into question the future of monetary policy.
-
White papersHawkish surprise from the ECB
At its December meeting, the ECB hiked rates by 50bp, to 2.0% (deposit rate). The Bank delivered a very hawkish statement. Inflation remains the main concern and top priority.
-
White papersSpectrum, Q4 2022
A year has passed since our Q4 2021 edition of Spectrum, in which we invited investors to consider the consequences of ‘sticky’ inflation. Suffice to say, a lot has happened since then, and the question of higher-for-longer inflation has been answered in no uncertain terms.
-
White papersClimate Change High Yield Credit Annual Report, 2022
Launched in September 2021, the Federated Hermes Climate Change High Yield strategy aims to outperform the global high yield market by investing with conviction in companies that have strong fundamentals and which demonstrate the potential to decarbonise and transition to a low-carbon world.
-
White papersHas China broken the ‘doom-loop’? An Asia credit perspective
The confluence of disinflationary trends taking hold in the US, and a decisive turn in Chinese policy, has broken the doom-loop for Chinese assets and Asian credit which has plagued markets since the third quarter of 2021.
-
White papersFed: Staying the course until the job is done
FOMC statement and press conference: On 14 December, the Federal Reserve (Fed) hiked the Fed Funds Rate by 50bp to 4.25-4.50%, a step down after four consecutive 75bp rate hikes. This takes the Fed Funds Rate further into restrictive territory.
-
White papersEmerging market debt: Darkest before dawn
We expect the US dollar to peak in Q4 2022 and if and when this happens, it will mark a significant downgrade in the strength of headwinds affecting EMD.
-
White papersChina stocks rally on property support and Biden-Xi meeting
Investor appetite for shares and bonds has recovered following news Beijing is ramping up support for the real estate sector.
-
White papersCarbon Handprint in Fixed Income: The Positive Power of Climate Solutions
As global warming worries approach critical mass, corporate bond investors expect issuers to be part of the solution. At the epicenter of the climate crisis are greenhouse gases (GHG), which all industries emit in one way or another. Many companies strive to shrink their emissions, or carbon footprint. But a carbon handprint measures the positive impact, or carbon avoided, by the use of a company’s products or services.
-
BlogCredit Selection Supports the Allure of European Loans
The fourth post in a series on European high yield culminates with our views on how the asset class may perform under certain scenarios.
-
White papersLooking ahead: U.S private credit in an age of scarcity
For over a decade, including through COVID-19, the tide of capital has flowed mostly in one direction: into markets. That’s because since the Great Recession of 2008, the U.S. Federal Reserve has kept interest rates low. Public credit, both loans and bonds, benefited from this support. But as we look ahead to 2023, it is important to shift our gaze and examine the impact of rate hikes and quantitative tightening on capital markets and private credit.
-
White papers2023 Investment Perspectives
M&G’s Chief Investment Officers share their perspectives on the key themes influencing financial markets for 2023. With major central banks raising interest rates to control high inflation and worries about the global economic outlook growing, there are plenty of uncertainties for investors to navigate. However, are there also grounds for optimism?
