Three Top Managers on Their Outlooks for Rates, Inflation
In part one of a Morningstar interview, Laird Landmann, Dana Emery, and Ken Leech offer their insights on what the Fed has in store.
The article was published in the February/March 2017 issue of Morningstar magazine.
Fixed-income investors endured twists and turns in 2016. U.S. Treasuries rallied in the beginning of the year as riskier bonds plummeted along with plunging oil prices and concerns about global growth. By midyear, the tables had turned: High-yield and emerging-markets bonds rebounded with commodity prices and were among the year’s strongest sectors, while an increase in Treasury yields that started midyear accelerated in response to the U.S. election and the expectation of fiscal stimulus. Today, the extent of further interest-rate rises and a new U.S. administration’s policy changes are unknowns with global ramifications.
Sarah Bush does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.