A change in fundamentals could make international bonds more attractive.
Now that the dollar is near the year’s highs, can the rally continue? We believe it can in the near term, although our longer-term view is more nuanced. Here’s what we see ahead.
As the Federal Reserve transitions from merely talking about tapering its bond holdings to actually tapering, investors may be left wondering what it might mean for the markets and their portfolios.
Although the prospect of the Federal Reserve tapering its bond purchases has unsettled markets in the past, we expect it to be more orderly this time around.
Inflation is likely to rise in 2021—but will the rise be sustained? That seems to be the million-dollar question lately.
Investors must balance ongoing risks of the coronavirus against the extra yield the bonds provide.