Fixed Income - Beyond Bulls & Bears

Beyond Bulls & Bears

Fixed Income

Flood-risk mitigation in Slovenia: A case study

Climate change adaptation is becoming increasingly necessary. For asset managers, it is imperative to know which issuers are well prepared for future risk events. Using Slovenia’s flood-risk mitigation efforts as an example, we explain why a thorough understanding of both potential risks and relevant mitigation measures is a cornerstone of best-in-class impact investing.

David Zahn, CFA, FRM | June 24, 2024

Fixed Income

Flash Insights: June FOMC meeting—erring on the side of caution

The Federal Reserve exercised caution at its June meeting, signaling only one interest rate cut in 2024. Policymakers will need to see more than just “modest further progress” on inflation before easing can begin, according to Franklin Templeton Fixed Income Economist Nikhil Mohan.

Nikhil Mohan | June 13, 2024

Fixed Income

EU election ushers in uncertainty and volatility

The European Parliament election resulted in expected gains for far-right parties—and an unexpected decision by French President Emmanuel Macron to call a national election on June 30. David Zahn, Franklin Templeton’s Head of European Fixed Income, discusses why the campaign in France will contribute to market volatility and may be pivotal for the European Union (EU).

David Zahn, CFA, FRM | June 11, 2024

Fixed Income

ECB begins what may be a slow cutting cycle

The European Central Bank cut its key benchmark interest rate by 0.25%, while indicating that its future moves will depend on incoming financial and economic data. David Zahn, Franklin Templeton’s Head of European Fixed Income, shares why he thinks the ECB will likely move slowly and discusses the implications for investors.

David Zahn, CFA, FRM | June 07, 2024

Fixed Income

Franklin Templeton Fixed Income Macro Views: Stuck in a moment

Franklin Templeton Fixed Income economists are seeing increasing divergence in the monetary policy paths across the Group of Three (G3) nations. While sustained disinflation is far from guaranteed in the United States, keeping the US Federal Reserve vigilant, the European Central Bank has embarked on a controlled monetary policy easing cycle. Meanwhile, the Bank of Japan has to weigh the economic benefits of a weak yen against its impact on inflation expectations, in order to decide how far to raise policy rates this year.

Sonal Desai, Ph.D. | June 07, 2024

Fixed Income

On My Mind: (r)-stargazing

Franklin Templeton Fixed Income CIO Sonal Desai discusses where she thinks the real policy rate lies in the United States and how this informs her outlook for US Treasury yields over the medium to long term.

Sonal Desai, Ph.D. | June 06, 2024

Fixed Income

On My Mind: The twin roots of rising rates

Franklin Templeton Fixed Income CIO Sonal Desai discusses why rising investment and persistently loose US fiscal policy are simultaneously pushing in the direction of higher long-term real interest rates.

Sonal Desai, Ph.D. | May 22, 2024

Fixed Income

Quick Thoughts: Investment Ideas—Getting cash off the sidelines

Is it time to move out of cash? Stephen Dover, Head of Franklin Templeton Institute, recently hosted a discussion with Julien Scholnick, Portfolio Manager, Western Asset Management, and Joanne Driscoll, Portfolio Manager and Head of Short-Term Liquid Markets, Putnam Investments, to answer this question and examine the opportunities within the fixed income space.

Stephen H. Dover, CFA | May 09, 2024

Multi-Asset

Quick Thoughts: Spring cleaning

Stocks, bonds, currencies and commodities have made significant moves in the past few months. Find out what factors to consider when deploying or redeploying capital from Franklin Templeton Institute’s Stephen Dover.

Stephen H. Dover, CFA | May 07, 2024

Fixed Income

On My Mind: The Fed, the Treasury and a fistful of dollars

Franklin Templeton Fixed Income CIO Sonal Desai discusses why persistently loose fiscal policy, relentless price pressures and resilient economic growth may cause a problem for the US Federal Reserve—and explains the implications for bond yields.

Sonal Desai, Ph.D. | May 06, 2024

Alternatives

A story about the drongo, the meerkat and debt markets

A look at private credit, and why increased activity in the broadly syndicated loans space is not necessarily a bad thing for direct lending, and vice versa, from Benefit Street Partners Managing Director Anant Kumar.

Anant Kumar | April 12, 2024

Fixed Income

Flash Insights: March inflation—Yet another reason to delay easing

March US consumer prices rose faster than expected. The reacceleration in supercore inflation suggests the strong inflation readings at the start of the year may not have been mere blips. Franklin Templeton Fixed Income Economist Nikhil Mohan expects the Federal Reserve will likely begin rate cuts in September, but inflation trends may affect the timing of the cuts.

Nikhil Mohan | April 10, 2024

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