U.S. Equities
Investment insights from Capital Group
The impact of rate hikes on US Treasury yields
Past results are not a guarantee of future results.
Data as at 14 January 2022. Chart shows the impact different hiking cycles had on the 2-year and 10-year US Treasury note. FF: Federal funds. Source: Bloomberg
Returns across fixed income during a hiking cycle
Past results are not a guarantee of future results. For illustrative purposes only. Investors cannot invest directly in an index.
Returns across the hiking cycles cover the following periods:31 May 1999 to 31 May 2000, 31 May 2004 to 31 December 2006, 30 November 2015 to 31 December 2018. Indices: Bloomberg US Aggregate Total Return Index, Bloomberg US Corporate Total return Index and Bloomberg US Corporate High Yield 2% Issuer Capped Total Return Index. IG: investment grade, HY: high yield. Source: Bloomberg
1. As at 7 February 2022. Based on modified duration for the Bloomberg Global Aggregate Index. Source: Bloomberg
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Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. All information is as at the date indicated unless otherwise stated. Some information may have been obtained from third parties, and as such the reliability of that information is not guaranteed.
Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.