Basis Points

Yields are high and profit margins have held up well despite rising cost pressures. How will that affect U.S. Credit? What are the drivers behind this growth? And where is the market headed? This week on the Basis Points podcast, Kevin Flanagan leads a discussion with Morgan Stanley’s Vishwas Patkar on what makes U.S. credit potentially attractive to investors and advisors, and the trends that will shape it over the next year.

Basis Point: 1/100th of a percent.

Is the U.S. Treasury market experiencing a "Groundhog Day"? This week on the Basis Points podcast, Kevin Flanagan reflects on this time last year when the bond market was anticipating a recession and counting on weak jobs data to confirm it as we enter a similar narrative heading into 2024.

Basis Point: 1/100th of a percent.

Today marked the first FOMC meeting of 2024, and as widely expected, the Fed kept the Fed Funds target unchanged. We believe rate cuts are coming, but they do not appear to be imminent just yet. This week on the Basis Points podcast, Kevin Flanagan provides his insights on the Fed’s timing for rate cuts in 2024 and analyzes factors that will affect monetary policy in 2024.

Basis Points: 1/100th of a percent.

An interesting development occurred last week: Fed 'pushback'. This week on the Basis Points podcast, Kevin Flanagan discusses what this means and what investors should be considering regarding how to play this pivot in monetary policy.  

Basis point: 1/100th of 1 percent. 

The money and bond markets appear to be ‘doubling down’ on their optimistic expectations for Fed rate cuts this year, leaving investors to continue to be faced with elevated volatility. This week on the Basis Points podcast, Kevin Flanagan reviews the latest U.S. Treasury yields and discusses how investors can play defense against this backdrop.

Basis point: 1/100th of 1 percent.

This year was a roller coaster for fixed income. What's in store for investors in 2024? This week on the Basis Points podcast, Kevin Flanagan provides a 2023 recap and outlines some key themes for the new year.

Basis Point: 1/100th of a percent.

While the Fed didn't cut rates at the December policy meeting, we believe they will be coming in 2024. This week on the Basis Points podcast, Kevin Flanagan highlights two WisdomTree funds that can help bond investors navigate the investment landscape that may be lying ahead.

Basis point: 1/100th of 1 percent.

At today’s FOMC meeting, the Fed did what was widely expected and kept interest rates unchanged. This week on the Basis Points podcast, Kevin Flanagan provides his insights on the disconnect between the Fed and market expectations, as well as the impact on fixed income investors.

Basis Points: 1/100th of a percent.

What action will the Fed take next and where is the market headed? In this special episode of the Basis Points podcast, Kevin Flanagan is joined by Matt Hornbach Global Head of Macro Strategy at Morgan Stanley. During the episode, the speakers offer their insights and perspectives on Morgan Stanley’s 2024 Outlook for the bond market titled Land of Confusion. They also discuss the market’s expectations given the current decline in Treasury yields and uncertainty regarding interest rates.

Basis point: 1/100th of 1 percent.

Federal Open Market Committee (FOMC): The branch of the Federal Reserve Board that determines the direction of monetary policy.

Yield: The income return on an investment. Refers to the interest or dividends received from a security that is typically expressed annually as a percentage of the market or face value.

One of the more noteworthy developments in the financial markets of late has been the plunge in U.S. Treasury (UST) yields. This week on the Basis Points podcast, Kevin Flanagan reviews the implications and provides some monetary policy outlook for 2024.

Basis point: 1/100th of 1 percent.

Federal funds rate: The rate that banks that are members of the Federal Reserve system charge on overnight loans to one another. The Federal Open Market Committee sets this rate. Also referred to as the “policy rate” of the U.S. Federal Reserve.

Treasury yield: The return on investment, expressed as a percentage, on the debt obligations of the U.S. government.