Legg Mason english


EM Spreads: The Wider They Go

Legg Mason -

 Emerging Market (EM) spreads are at record highs; China’s bonds have risen solidly; Treasury yields have turned in their first inversion of the current cycle. Investors in Emerging Market (EM) debt, both hard- and local-currency, have had it tough in 2018, between country-specific problems in Turkey, Brazil and Argentina, the… Read More »


Trading Places: What Could Change Soon

Legg Mason -

Could rapid reversals be afoot in Congress, the Federal Reserve, and in the United States’ leadership in global growth? Democrats have traded places with Republicans in the U.S. House of Representatives—restoring the kind of political gridlock that the U.S. system of government was designed to manage. The organizational structure of… Read More »


Midterm Elections: Divided Congress Signals Gridlock

Jeffrey Schulze -

With control of the Senate and House now divided, and the prospects for a recession still muted, the S&P 500 should continue to march higher in 2019 — with areas of potential opportunity for active managers in specific sectors. No matter what your political affiliation, it’s important to keep an… Read More »


U.S. Debt: Punchbowl Economics

Legg Mason -

U.S. Treasuries focused on Fed policy more than prospects for growth; EM currencies rose post-Q2; China trimmed its holdings of U.S. Treasuries along with the rest of its FX reserves. The quick fall and snap-back of U.S. Treasury yields along with the equity market selloff, highlighted a feature of current… Read More »


The Deal on the Dollar: Divergence

Francis A. Scotland -

Bad things tend to happen when the U.S. dollar rises too much. Unfortunately, there has been a lot of that lately, with most of it playing out in the emerging world, at least so far. The dollar is up a little more than 7% against other major currencies this year.… Read More »


The Power of Income

-

A timely reminder about what really drives fixed-income returns and where the opportunities lie. In short: never underestimate the power of income. With yields currently at historical lows, it’s increasingly common for investors to look for ways to use fixed-income as a reliable source of total return in their broad… Read More »


The Power of Income 1

Legg Mason -

A timely reminder about what really drives fixed-income returns and where the opportunities lie. In short: never underestimate the power of income. With yields currently at historical lows, it’s increasingly common for investors to look for ways to use fixed-income as a reliable source of total return in their broad… Read More »


Re-Emerging Markets: Currencies Tell a Tale

-

EM currencies continued to reflect the very real differences between markets; credit spreads in Europe continued to reflect the eventual departure of the ECB as bond buyer of note; as Greece began its post-bailout status, sovereign debt reflected the country’s improved, but not yet solid footing. As of market close… Read More »