Amid Economic Recovery, How Stable Is the Bond Market?
Franklin Templeton's Sonal Desai discusses the durability of economic recovery and the value of holding bonds.
Sonal Desai, the CIO and executive vice president of Franklin Templeton's fixed-income group, broke down the current bond market and offered her thoughts on the risks and rewards of low-yield bonds on Morningstar's The Long View podcast.
Forecasting a challenging future for bond returns, Desai addressed the current environment of historically low yields and stretched valuations. She also discussed how the coronavirus pandemic--and subsequent economic recovery--might affect future fiscal and monetary policy, especially considering rising inflation, snarled supply chains, and the current state of unemployment in the United States.