The Fed is planning for a prolonged period of accommodation, and seeking to ensure its policies can be sustained as long as needed.
Main Street and Wall Street have divergent opinions about the Fed's longstanding 2% inflation target.
Investment-grade credit could offer substantial value, even in the current uncertain economic environment.
The forces keeping inflation restrained in the U.S. are both global and local.
Perspective on how the coronavirus outbreak may impact investments and economic growth in the days ahead.
Chart of the Week
Chart courtesy of ClearBridge Investments. * Institutional & Retail Money Funds – ICI. ** MSCI U.S. IMI Index. Data as of July 3, 2020. Source: FactSet. Past performance is no guarantee of future results. Indexes are unmanaged, and not available for direct investment. Index returns do not include fees or sales charges. This information is provided for illustrative purposes only and does not reflect the performance of an actual investment
Chart of the Week
The collapse in oil prices has added to market dislocations and uncertainty associated with the coronavirus pandemic.
Western Asset examines recent trends in the muni bond market and provides its outlook about conditions ahead.
Muni weekly update
Foreign demand for taxable munis is generating new issuance, and a potential benefit for spread investors.
It was the most volatile first half-year in the history of the muni market, yet the Bloomberg Barclays Municipal Index still returned 2.08% for the period following a strong second quarter.
Fixed Income Markets
The recent wave of corporate bond downgrades has dropped many companies' debt into the high yield sector. But could some "fallen angels" rise again?
Muni Weekly Monitor
A deep dive into what jobs data associated with COVID-19 says about austerity at the state and local government levels.
With the Bank of England likely to keep rates very low and increase asset purchases, UK gilt yields and corporate bonds appear well supported; less so, the British pound.
Municipal Market Monitor
The Fed's move to extend its bond-buying to smaller municipalities and revenue-backed liens helped ease liquidity concerns in the muni market.
Asia Economic Chartbook
Is the COVID-19 pandemic on the wane in North Asia?
New policies announced by ECB President Lagarde surprised markets on the dovish side, delivering more support than expected..
Emerging Market Debt
For EM debt, the lower liquidity of recently volatile markets could provide more opportunity than in more tranquil times.
In a still unpredictable environment, global investment-grade credit could offer the potential for capital gains, income and liquidity.
COVID-19’s sudden impact on the market for office space could spark unanticipated changes longer-term.
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