Global Fixed Income Strategy - January 2019

Monthly insights and updates from the Invesco Fixed Income team

Feb 1, 2019 | Invesco Fixed Income

Despite rising recession fears that shook markets at the end of last year, Invesco Fixed Income sees that the current expansionary business cycle still has room to run before a global recession happens. In fact, the team believes that market expectations of growth might be too negative.

In its latest monthly update, the team analyzes that a potentially more flexible US Federal Reserve approach, as well as supportive Chinese monetary and fiscal policies, reduce the risk of the global economy tipping into recession later this year. Given recent adjustments in the pricing of risky assets and improved policy expectations, the team believes markets may now provide attractive returns going forward, although with the potential for above-average volatility.

To read more of IFI’s views, click on “Download PDF”.

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