Multi-Sector Bond Quarterly Update – April 2024

George Curtis, Portfolio Management, discusses the Multi-Sector Bond team's performance in Q1 2024, highlighting the improved clarity in deciphering central bank actions. With an anticipated central bank rate cut as the next move, the team remain confident in navigating the market's developments.

Key takeaways: 

• Inflation progress will be bumpy: Inflation data this year has been stronger than expected, particularly in the US
• Strong labour market data: Non-farm payroll in the US exceeded 250,000, both in January and February, whilst unemployment in the Eurozone remains at historically low levels
• Rate cuts: The cutting cycle from the central banks will be gradual 
• Corporate fundamentals: Corporate fundamentals remain robust and risk markets continue to perform positively