Quarterly Review
Q4 2022 Investment Review
As most investors look to put 2022 in the rearview mirror, we note that the fourth quarter ushered in positive performance across most of the fixed income landscape. Market participants are beginning to believe that the Federal Reserve and their central banking counterparts around the world might finally be doing enough to counter inflation. Read…
Read MoreQ3 2022 Investment Review
Bond yields continued their march higher as the Federal Reserve has been unrelenting in raising their target rate in their stance on wanting to curb inflation. Unfortunately, they are yet to be successful and many bond investors are choosing the sidelines versus the frontlines as monetary losses mount. The Bloomberg Aggregate Index was down about…
Read MoreQ2 2022 Investment Review
Q2 2022 Investment Review “Nowhere to hide” was a phrase that we continued to hear throughout the second quarter as risk markets sold off while inflation surprised to the upside, the Fed leaned hawkish and the war in Ukraine raged on. The Bloomberg Aggregate Index was down about 4.5% bringing the year-to-date performance number…
Read MoreQ1 2022 Fixed Income Review
It seems a bit trite discussing and reflecting on one of the worst quarters in the history of the bond market while an entire country and their people face the horror of war, but we must. Our hearts and thoughts are with those in Ukraine as well as their family and friends. Just as folks…
Read MoreQ4 2021 Fixed Income Review
Once again, the overall fixed income market as measured by the Bloomberg Aggregate Index was essentially flat during the quarter at 0.01% vs. the third quarter at 0.05%. Just as the market was digesting the uptick in Delta variant cases, as well as a Federal Reserve that was sounding a bit hawkish, another letter of…
Read MoreQ3 2021 Fixed Income Review
Although the performance numbers don’t necessarily reflect it, the bond market experienced a dose of turbulence during the third quarter as an uptick in Delta variant cases and subsequent growth concerns brought out some sellers. The Treasury bond market was not immune from worries as inflationary concerns remain high and the debt ceiling timeline draws…
Read MoreQ2 2021 Fixed Income Review
The bond market was a somewhat boring place to be during the second quarter as a mixed bag of economic news, muted job trends, tight credit spreads, and a range-bound but flattening Treasury market resulted in positive returns for the quarter. The benchmark 10-yr Treasury started the quarter at 1.74% and finished June at 1.47%,…
Read MoreQ1 2021 Fixed Income Review
It is hard to believe that it has been over one-year since COVID-19 became a household word while changing the world forever. During that time, the markets sank and rebounded as investors reacted to heightened uncertainty, reassessed liquidity and risk tolerances, and finally looked forward. During the first quarter of 2021, fixed income investors finally…
Read MoreQ4 2020 Fixed Income Review
Thanks in large part to approved vaccines, the fixed income market managed to navigate worsening COVID statistics, a contested election and an uncertain fiscal stimulus package. This “risk-on” rally was apparent in many markets and not just the fixed income arena. Stocks and commodities made heady gains, while interest rates started to creep higher. Our…
Read MoreQ3 2020 Fixed Income Review
Many sectors within the fixed income markets enjoyed gains as interest rates stayed relatively steady and bond spreads tightened as investors grew more comfortable with the scope and trajectory of the current economic recovery. Despite a robust new issue calendar in the middle of a usually weak season for deals, corporate bonds managed to gain…
Read More