Explore our thinking about today's financial markets
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Regulatory storm sweeps across China
October 21, 2021 | Fixed income
President Xi Jinping’s “common prosperity” campaign to address China's wealth gap has converged with the regulatory crackdowns.
Capital Markets Outlook
At the crossroads of pandemic, policy, disruption, and inflation
October 15, 2021 | Capital Markets Outlook
Strains on supply chains, rising prices, slowing growth, and shifting policies have pushed up volatility and changed our tactical stance.
Fixed Income Outlook
Bond markets in flux on rates and inflation outlook
July 28, 2021 | Fixed Income Outlook
Global financial markets were mixed during the second quarter.
Equity Insights
Value investing for all seasons
October 1, 2021 | Equity Insights
We believe the durability of this recent value rally is being underestimated. Based on our analysis, the case for value stocks, particularly in international markets, remains compelling
Regulatory storm sweeps across China
President Xi Jinping’s “common prosperity” campaign to address China's wealth gap has converged with the regulatory crackdowns.
Emerging markets leading the way in innovation
Innovation is driving exciting growth across emerging market countries.
China property problem — Bigger than Mt. Evergrande
Recent default warnings from one of China's leading real estate development companies signaled a bigger property problem in the sector.
How an active core strategy can benefit equity investors
An active core strategy backed by fundamental, sector-based research has demonstrated impressive long-term performance versus passive strategies.
Markets see living with Covid-19 as the new normal
Global financial markets might be pricing in a “living with the virus” environment and are adjusting to a lower growth path.
Consider stable value funds for DC plans
For retirement plan sponsors, choosing a capital preservation option can be challenging. We offer insights about stable value funds and their performance.
Taking a fiduciary view on target-date selection
It is important for a fiduciary to understand glide path features and how these features are combined in target date fund selection.
U.S. labor market — 55 is the new 65
Following broad-based recovery in the labor market when the economy initially reopened in 2020, the labor force participation rate has stagnated and started to diverge.
State financial health adds to muni appeal
State financial health has improved as tax receipts rebound and states receive sizable federal aid.
Toys, cars, and the U.S. recovery
We believe growth in the United States remains strong, but expectations need to be revised lower.
Don't overlook international small caps
When focused on diversification one asset class that is often overlooked is non-U.S. small-caps.
Time-as-a-Service, anyone?
The evolution of time-as-a-service illustrates the changing nature of economic moats, competitive advantages that protect a company’s market share.
Fiscal impetus and the U.S. labor market
We examine the interplay between President Biden's multi-trillion-dollar stimulus plans, the labor market, and corporate profits.
If taxes go higher, will munis be hurt?
The Administration's recent plan would increase the highest marginal income tax rate but would not likely impact muni yields.
China technology stocks in a reboot, not a shutdown
China’s technology sector has cratered since February and we view the selloff as a buying opportunity in China tech.
From V-shaped recovery to bond vigilantes
The Federal Reserve remains dovish on monetary policy as bond market vigilantes push yields higher.
Clean energy: Myths, reality, and opportunities
We believe many companies are poised to benefit significantly from the big shift toward renewable energy.
Pandemic recovery: Who may benefit once the dust settles?
Uncertainty still surrounds the future of Covid-19 and various vaccines, but we're already seeing clear differences in consumer and business behavior since the pandemic.
American Rescue Plan strengthens state and local finances
The American Rescue Plan Act provides billions in federal stimulus to states and local governments.
Why think twice about investing in an EM ETF
Active management can offer superior performance when investing in an emerging markets ETF.
Massachusetts budget taps rainy day fund, federal aid
The Governor of Massachusetts introduced a budget proposal that includes a withdrawal from the state’s rainy day fund and federal aid to balance the budget.
Massachusetts budget taps rainy day fund, federal aid
The Massachusetts budget proposal for FY 2022 relies on money from the rainy day fund and federal aid to balance the budget.
Company diversity and social justice
Company diversity is a step toward equity and equity is a step toward inclusion, which is important to company success.
Munis in demand with new taxes possible
Demand for municipal bonds continues to be robust in 2021.
New York confident about recovery
New York leaders are confident about the state's economic recovery.
Thinking about growth investment? Consider your exposures.
The technology and healthcare sectors stand apart for bringing new products, ideas, and services to market.
New medicines and digital tools target mental health
In recent years, there have been several developments for treating mental health. These innovations — which come after decades of slower-paced advances — include novel drugs and digital offerings.
Is inflation poised to return?
We believe that pandemic-related bottlenecks have temporarily lifted U.S. inflation. Still, the underlying inflation trend is weak.
California budget outlook brightens
With revenues coming in higher than projected, the outlook for the California budget is positive in the near term.
Mental health is a business issue: How companies are supporting their employees
Companies are beginning to focus more on mental health at work, and some are offering a wider range of supportive and preventive care.
Munis outpace Treasuries, taxable bonds
The recovery in the municipal bond market continued in the third quarter as munis outpaced U.S. Treasuries and the broader taxable bond market.
In election 2020, what matters to markets stays the same
In this election season, the focus for investors may be on political winners and losers, but what stock markets focus on remains the same.
China leads, other emerging markets lag
China is leading the economic recovery among emerging-market countries, buoyed by stimulus and stringent COVID-19 measures.
Pandemic persists in policy patchwork
Fiscal and monetary policies will be central to the economic recovery between now and the availability of a COVID-19 vaccine.
U.S. economy remains a centerpiece in 2020 vote
Fiscal policy will be a key focus for investors after the November election.
VIX futures hint at post-election uncertainty
When there is election uncertainty the VIX can experience a “kink” to price indicating idiosyncratic risk.
The global economy and the race for a vaccine
The development of a vaccine will play a role in shaping the global economic comeback in 2021.
If taxes move higher, demand for munis may surge
The likelihood of higher taxes in the future could boost demand for tax-advantaged investments including munis.
Keeping Japan's economy afloat after Abe
Prime Minister Shinzo Abe's resignation raises questions about the future of Abenomics and reform in Japan.
Investors returning to municipal bond funds
Municipal bond funds rebounded in the second quarter as investors returned to asset classes they abandoned early in the pandemic.
Muni-bond market slowly reviving from COVID-19 setback
The Fed helped the muni-bond market revive the muni-debt market as states and local governments grappled with revenue disruptions.
The Fed’s flexible new policy
The Fed announced a shift in its approach to monetary policy and the new strategy can be viewed as a flexible form of average inflation targeting.
The future is happening faster now
We rarely see as much disruption as we have seen in 2020, and we believe this offers investment opportunities.
Perspective on keeping perspective
Five months into our pandemic environment, financial professionals are looking for ways to keep their work in perspective.
Deglobalization creates new winners in China
The trade war, pandemic, and the Made in China 2025 initiative are resulting in a deglobalization trend and opportunities in China.
Staying at home increases spending on homes
As the economy continues to be challenged by the COVID-19 pandemic, we are seeing two notable trends in the U.S. housing industry.
V-shaped recovery proving elusive
The U.S. and global economic recoveries are unlikely to be “V-shaped” as businesses and consumers remain wary of returning to pre-pandemic behavior.
Vaccine is a wild card for the economy
A vaccine for the coronavirus will be supportive of risky assets even if the economic benefits take longer to materialize.
Risk sentiment swings with Fed tapering
Without a proactive Fed, the rally in risk assets would be in trouble.
Europe displays rare unity over relief fund
In a step toward closer ties, European Union leaders plan to discuss a recovery fund for countries hardest hit by the pandemic.
Disruptive change: A growth driver for small companies
Disruptive change is often the force that enables small companies to compete against their larger peers.
Sustainability research: A week in the life of our team
Our research includes discussions with company managements, other researchers and investors, industry and subject experts, and non-profit organizations.
Behavioral shifts bring investment opportunities
Many businesses that have been resilient and strong during the COVID-19 crisis are likely to become even stronger in the aftermath.
Coronavirus tests limits of U.S. stimulus plans
The coronavirus pandemic is testing the limits of fiscal and monetary policy responses from Congress and the Federal Reserve to boost the economy and calm financial markets.
Sustainable value: Gender diversity on corporate boards
Diversity in companies — including gender diversity — can have a positive impact on company performance and strategic ability.
Stumbling toward a fiscal equilibrium in the eurozone
The economic impact of the coronavirus pandemic in Europe will be severe amid stimulus efforts by policymakers, including the European Central Bank, to cushion the blow.
Bracing for a slow U.S. recovery
U.S. economic recovery will likely be slow and halting as coronavirus health risks cast a shadow on demand.
ESG issues alive in healthcare
Our team analyzes medical costs and access as ESG issues affecting human well-being and sustainable economic development.
What’s next for the hard-hit financials sector?
The financials sector has been among the hardest hit from the COVID-19-induced equity market selloff, but there are reasons for optimism.
Perspectives on COVID-19
Putnam’s health-care analysts and portfolio managers offer their outlooks and perspectives on key aspects of the COVID-19 pandemic.
Oil’s wild ride and what lies ahead
Demand for oil has collapsed as the coronavirus pandemic devastates the global economy and curbs much of the need for fuel from companies and consumers.
Navigating bond yields
The trajectory of bonds yields will depend on the Federal Reserve's policies and fiscal stimulus amid a sharp global economic downturn.
Investing for growth in volatile markets
Putnam portfolio managers discuss managing risk and finding investment opportunities in challenging markets.
Social distancing generates recession
A recession is looming in the United States as COVID-19 and social distancing take a toll on economic activity.
Manager insights: Bulls, bears, and bond markets
With the extreme swings in the market over the last few weeks, several of Putnam’s senior fixed-income managers shared their insights on the bond markets.
Equity opportunities in challenging markets
Putnam’s equity investment professionals recently discussed market conditions, their strategies, and their outlooks.
Recessions and the equity market: A framework for investors
In these days of significant market volatility, investors are looking for a framework.
Slowing the spread of COVID-19 entails economic disruption
The global economic outlook has deteriorated because of the coronavirus pandemic amid rising supply and demand disruptions.
The Fed reacts to coronavirus economic risks
The Fed made a proactive move to reduce the federal funds rate by 50 basis points.
Tax-free muni strategies in a low-rate world
Tax-free muni strategies may provide a competitive yield, and preserve capital, whether economic growth accelerates or remains slow.
The impact of coronavirus on markets
The spread of coronavirus infections is having an impact on China’s GDP and on financial market sentiment worldwide.
Mapping the virus toll on China
The coronavirus poses a risk to China's growth as the government races to contain the outbreak, and the global economy could suffer.
Is another round of Fed rate cuts looming?
The Federal Reserve may lower its benchmark interest rate by 50 basis points in 2020 if sustained financial market stress affects economic activity against a backdrop of the coronavirus epidemic.
The SECURE Act opens a new frontier for 401(k)s
The SECURE Act represents significant changes to retirement savings and could drive a expansion of workplace retirement savings plans including 401(k)s.
Solutions to antibiotic resistance
As the focus on natural ingredients intensifies, so has concern about antibiotic use in food production.
China's economy braces for fallout from coronavirus
There will be some temporary disruption to economic activity in China and elsewhere from the coronavirus outbreak.
Bond yields in early 2020 likely to stay range bound
Bond yields will likely stay range bound in early 2020 as the economy shifts to a lower gear and central banks shift to neutral.
Millennial money drives 401(k) plan evolution
Growing in number, the Millennial generation is having an impact on the evolution of 401(k) plan design.
Linking impact and performance
Often, the same elements that create environmental and social benefits are driving positive financial performance.
Fed relieves pressure on repo market
In recent weeks, the Federal Reserve has provided billions of dollars of liquidity for participants in the market for repurchase agreements, or repos, to stabilize interest rates following a spike in mid-September.
Engaging with allies to advance sustainable investing
We collaborate with institutions to examine and understand the financial impacts of sustainability.
Will the improving housing market further divide the Fed?
The Fed remains divided on the trajectory of interest rates; a pick up in U.S. housing activity may increase this division.
Talking sustainability with CEOs
We have ongoing dialogue with the management teams of companies in which we invest, across a wide range of sustainability-related topics.
An inverted yield curve: Recession or stagnation?
The Treasury yield curve briefly inverted in August, rattling markets with the possibility of a recession.
Sustainability analysis enhances research
An intense focus on sustainability has the potential to deliver strong returns to investors while also benefiting communities and the environment.
July rate cut: “Insurance” policy or recession guard?
The Federal Reserve delivered on its widely expected quarter-percentage point interest-rate cut at the July meeting. It was the first reduction since 2008 and came in response to slowing global economic growth and muted inflation.
The SECURE Act: Completing an unfinished masterpiece
Congress is considering the SECURE Act, which would enhance workplace retirement savings plans and extend access to millions of workers.
Trade war fallout can hurt risky assets
The simmering trade war between the United States and China is expected to continue, and could put the economy at risk.
Implications of the Huawei export ban
With Huawei blocked by the U.S. Commerce Department from buying U.S. technology, we discuss ramifications on the technology sector and how the ban may end.
Trade tensions could reduce global GDP
There is a significant likelihood that U.S.-China trade tensions will remain high. Effects on global GDP effects are uncertain, but could exceed 1%.