Jenna Barnard, Co-Head of Strategic Fixed Income, shares the Strategic Fixed Income Team’s current thoughts and views on bond markets, and addresses the most frequently asked question: is inflation on the rise?

 Key takeaways:

  • Credit spreads have held up remarkably well despite a tsunami of issuance since mid‑March, including record breaking volumes of new investment grade issues (over a trillion US dollars so far).
  • With total issuance generally expected at around US$1.5 trillion for this year, the pace is set to naturally slow from now on.
  • Is inflation about to take off? We caution against misinterpreting price volatility as an inflation cycle about to erupt.

 Note: this video was recorded on Monday 18 May 2020.