Capital Ideas^TM

Quarterly macro and market insights from Capital Group’s fixed income team

The statements expressed represent perspectives from Capital Fixed Income Investors, as at 31 December 2022. The views of individual portfolio managers and analysts may differ. © 2023 Capital Group. All rights reserved. Data as at 31 December 2022, and attributed to Capital Group / Bloomberg Index Services Ltd, unless otherwise stated.

Outlook for bonds brighter even as growth concerns linger
 

• Global growth is expected to weaken as central banks remain restrictive, though many economies have shown more resilience than previously expected
• Inflation should continue to lose steam in 2023, although it may remain uncomfortably high relative to central bank targets
• Higher yields and relative value opportunities offer better return potential for 2023

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• This material is not intended to provide investment advice or be considered a personal recommendation.
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