Beyond Bulls & Bears

Franklin Templeton Fixed Income Macro Views: The return of (trade) policy uncertainty
Fixed Income

Franklin Templeton Fixed Income Macro Views: The return of (trade) policy uncertainty

Franklin Templeton Fixed Income economists explore the impact of proposed changes to both US tax and tariff policies and the implications for global economies. Central banks continue to address local conditions, with the US Federal Reserve and European Central Bank further easing monetary policy, while the Bank of Japan is hiking its policy rate as it faces elevated inflation.

Quick Thoughts: An election like no other—implications for investors
Multi-Asset

Quick Thoughts: An election like no other—implications for investors

The election victory for Donald Trump and the Republicans is only one part of their sweeping opportunity to unleash stronger economic growth that could lift corporate earnings. Stephen Dover, Head of Franklin Templeton Institute, shares his post-election observations.

Quick Thoughts: A big night for the Republicans
Perspectives

Quick Thoughts: A big night for the Republicans

US election results have implications for bond yields and stock market sectors. Head of Franklin Templeton Institute, Stephen Dover summarizes what investors need to know.

On My Mind: For a few rate cuts more
Fixed Income

On My Mind: For a few rate cuts more

Recent data releases continue to point to a stubbornly resilient US economy. This supports Franklin Templeton Fixed Income CIO Sonal Desai’s long-held view that the neutral rate of interest lies north of 4% and suggests that this monetary policy easing cycle will be shorter and shallower than many financial market participants expect.

Franklin Templeton Fixed Income Macro Views: Everything everywhere all at once
Fixed Income

Franklin Templeton Fixed Income Macro Views: Everything everywhere all at once

Franklin Templeton Fixed Income economists note continued divergence in G3 monetary policies. The US Federal Reserve and European Central Bank are expected to continue gradual easing, with US politics adding uncertainty. In contrast, Japan's strong labor market may lead to more aggressive tightening than anticipated.

Strategic Shifts: Optimizing fixed income allocations as the Fed’s hiking cycle ends
Fixed Income

Strategic Shifts: Optimizing fixed income allocations as the Fed’s hiking cycle ends

With expectations the Federal Reserve will start cutting interest rates at its September meeting, investors are asking, “what should we be doing with our fixed income allocation?” The Franklin Templeton Fixed Income team evaluates historical inflection points for fed funds rates to explore the impact on fixed income sectors and resulting investment opportunities.

Quick Thoughts: 2024 US election—implications for investors
Perspectives

Quick Thoughts: 2024 US election—implications for investors

The US presidential election is often seen as decisive for the economy and overall investor portfolios, but it may not matter as much as people think, according to Franklin Templeton Institute.

Quick Thoughts: Market dislocations—implications for investors
Multi-Asset

Quick Thoughts: Market dislocations—implications for investors

While markets appear to be in a tailspin over recent US economic data, it’s too soon to conclude the US is headed toward recession, according to Franklin Templeton Institute’s Stephen Dover. He weighs in on recent market action and the silver lining in Fed rate cuts likely ahead.

On My Mind: It’s not the end of the world as we know it
Fixed Income

On My Mind: It’s not the end of the world as we know it

Recent data releases appear to give the green light for the US Federal Reserve to begin easing monetary policy in September. However, according to Franklin Templeton Fixed Income CIO Sonal Desai, the key issue remains the nature of the easing cycle ahead—namely its duration, its speed, and the policy rate endpoint.

Flash Insights: July FOMC meeting—Powell runs ahead of the Committee as usual
Fixed Income

Flash Insights: July FOMC meeting—Powell runs ahead of the Committee as usual

Although the US Federal Reserve left policy rates unchanged at its July meeting, changes to the Federal Open Market Committee statement laid the groundwork for rate cuts. However, as the post-meeting press conference progressed, Chair Jerome Powell’s statement turned from balanced to slightly more dovish, according to Franklin Templeton Fixed Income Economist Nikhil Mohan.

Flash Insights: BoJ delivers on both fronts
Fixed Income

Flash Insights: BoJ delivers on both fronts

The Bank of Japan raised its policy rate to more than a 10-year high on July 31, a decision driven by elevated wage growth and the yen’s weakness, both of which pose upside risks to the inflation outlook. Franklin Templeton Fixed Income economists believe that further rate hikes are likely, both this year and next.

Uncovering income opportunities
Perspectives

Uncovering income opportunities

Inflation is cooling but the journey to the Fed's target is tough. Meanwhile, the labor market has steadied, hinting at less aggressive Fed rate cuts. Insights on the market implications from Franklin Income Investors CIO Ed Perks.