Bonds Set to Benefit from BoC and Fed Easing
According to Adam Ditkofsky, senior portfolio manager at CIBC Asset Management, lower yields will create opportunities in shorter-dated bonds.
The Bank of Canada and the U.S. Federal Reserve are expected to support growth by lowering interest rates in the coming months, potentially benefiting fixed-income investors.
- Adam Ditkofsky predicts three rate cuts from the Bank of Canada over the next 12 months, with the overnight rate reaching 1.75%.
- In the U.S., he expects 125 basis points in additional cuts by the Fed, with the policy rate falling to 3%.
This is good for bonds, as it implies lower yields, especially in the shorter-dated bonds.
Author's summary: Bonds to benefit from rate cuts.
More News
- Praia Health’s Kurt Hammond on Powering Providence’s Work With Labcorp
- [Event] 15th Annual New York Forum on Economic Sanctions - December 3rd - 4th, New York, NY | JD Supra
- Pharmaceutical Executive Daily: New Research Suggests Ozempic May Reduce Biological Age | PharmExec
- Biofuels and ethanol key to the future of U.S. agriculture - High Plains Journal
- Kentucky families fear losing SNAP benefits in November as government shutdown drags on
- Fraternity and hope strengthen relations between Catholics and Anglicans
- High-speed motorcycle chase ends in violent crash on Southern California freeway
- Bitcoin Price Might Never Fall Below $100,000 Again
- Why the Informal Sector Is Not a Tax Goldmine - Institute of Development Studies
- Landmark New Report Shows Canadian Lobbyists Represent Major Polluters Alongside Environmental Groups