Robert L. Salvin
Head of Corporate and Tax-Exempt Credit
|Putnam ESG High Yield ETF|
|Fact sheet||Annual||Semi annual|
|Convertible Securities Fund|
|Diversified Income Trust|
|Floating Rate Income Fund|
|High Yield Fund|
Closed End Funds
|Master Intermediate Income Trust|
|Premier Income Trust|
More from the Fixed Income team
Fixed income markets experienced widespread declines in the U.S. and globally in the third quarter of 2022, as inflation remained high and became more broad-based.
The Fed walks a line between inflation and financial stability
Given the fragilities in financial markets, the Fed will likely move cautiously in monetary tightening to fight inflation.
Will interest rates go down?
Our base case for our strategy remains that a recession will wipe out excess savings, and the relatively low interest-rate environment will return.
Expect a pause, not a pivot, as savings fuel spending
In the coming months, the Fed will not likely pivot, but pause and wait with a high level of rates for convincing signs of disinflation.