In this week’s episode, hear Andrzej Skiba explain how expectations need to be reset after the rally to end 2023, but that opportunities abound.    

Summary points:

• The sharp market rally has investors rethinking future return expectations. Significant rate cuts are priced in.
• When assessing market projections for early rate cuts, we see room for disappointment.
• On average, Investment Grade, High Yield and MBS spreads look uninspiring.
• We see plenty of opportunities to generate alpha in attractively-priced opportunities and dislocated idiosyncratic credit stories.