cover of episode Attitude Adjustments - High Quality Credit Spreads

Attitude Adjustments - High Quality Credit Spreads

2021/6/23
logo of podcast Macro Horizons

Macro Horizons

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Shownotes Transcript

Dan Krieter and Dan Belton discuss three major adjustments impacting their markets in recent weeks. First, the Fed’s changing outlook on inflation including the risk inflation is higher and more persistent than expected. Second, they discuss an adjustment to the IG index controlling for credit quality and duration which shows in spreads trading well within all-time tights. Finally, they discuss the impact of the Fed’s technical adjustment on the front-end.