Explore our thinking about today's financial markets
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From V-shaped recovery to bond vigilantes
April 15, 2021 | Fixed income
The Federal Reserve remains dovish on monetary policy as bond market vigilantes push yields higher.
Capital Markets Outlook
Don't fall for inflation head fake
April 12, 2021 | Capital Markets Outlook
Large, repeated government stimulus packages do not necessarily lead to inflation. See what this means for our strategy.
Fixed Income Outlook
Bond investors chase yields amid vaccine rollout
January 27, 2021 | Fixed Income Outlook
Global financial markets trended higher during the fourth quarter, powered by the emergence of COVID-19 vaccines and continuing stimulus policies.
Equity Insights
Don’t be afraid of the inflation bogeyman
April 1, 2021 | Equity Insights
We look at the impact of rising inflation on equity performance, industries that could thrive, and strategies for positioning portfolios.
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.
American Rescue Plan strengthens state and local finances
The American Rescue Plan Act provides billions in federal stimulus to states and local governments.
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.
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.
U.K. starts new chapter after EU split
It is strategic for the U.K. to have a trade deal with the EU given the short- and long-term negative effects of Brexit.
Vaccine not in time for jobs recovery
The U.S. labor market continues to lose steam as fewer Americans were able to find work amid surging Covid-19 cases.
Record-setting muni issuance pauses post-election
Muni issuance pauses post-election, but reinvestment demand typically increases near year-end.
Oil markets pin hope on vaccine and OPEC+
Oil prices are likely to trend slightly higher as OPEC+ mulls maintaining lower output in 2021 and demand recovers in key markets such as China.
Calls for new stimulus as recovery fizzles
Governments are trying to calibrate their policies to support growth as “fiscal cliffs” loom amid a resurgence in the virus.
U.S. politics amid virus surge
U.S. election politics are playing out against a backdrop of an easing recovery, rising COVID-19 cases, and a potential new vaccine.
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.
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.
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.
U.S.–China war of words playbook
The politics of the U.S.–China relationship have clearly become more complicated recently. The war of words over China’s handling of the coronavirus outbreak and the proposed new Hong Kong security law has the potential to create headwinds for the global economy and financial markets.
Disruptive change: A growth driver for small companies
Disruptive change is often the force that enables small companies to compete against their larger peers.
Navigating market turmoil: Our intrinsic value compass
Our investments in the communications sector help illustrate our intrinsic value approach to finding opportunities.
U.S. economic fog lifts slightly
It is encouraging that some stabilization has started in the United States and the economic data fog is lifting just a little; but we forecast a low probability of a "V-shaped" recovery.
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.
Recessions and the equity market: A framework for investors
In these days of significant market volatility, investors are looking for a framework.
Manager insights on current volatility
Putnam Investments hosted a webcast featuring insights on current volatility and the COVID-19 pandemic from three senior investment managers.
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.
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%.
How green is your beverage container?
Rigorous research of sustainability can lead to attractive investment opportunities.
Why flexibility matters if Treasury yields climb
An active, flexible posture on rate risk could be helpful given the reasons why Treasury yields might rise from recent low levels.
ESG investing: Identifying leaders in data management
Data security and privacy practices can significantly affect business models, and leading companies may offer strategic and financial advantages.
Investing for impact | Q&A with Stephanie Henderson
A member of Putnam's sustainable investing team describes her motivations for spreading ESG fluency throughout the firm to enhance fundamental insights.
Market volatility returns to "old" normal
Our outlook for stock market volatility sees the levels reached in 2018 continuing, in part because these levels were close to the long-term norm.
401(k) reaches milestone as innovation continues
As the 401(k) reaches milestone, the workplace savings plan continues its evolution, adapting to changing demographics and savers’ needs.
ESG Outlook for 2019
We see increasing evidence that systems thinking is becoming more prevalent and influential throughout corporations and the investment community.
What November means for 2019
The events of November provide a fresh view of two key risks facing the economy in 2019 — a hawkish Fed and an escalation of the trade war.
Bigger tax refunds may help boost retirement savings
Projections of larger tax refunds this year could mean an increase in contributions to retirement savings.
How company diversity can help performance
The potential to improve work performance is perhaps the most intriguing and least understood argument for diversity — and worth examining in more depth.
Use wellness to gain wealth
New research found that a worker who focuses on wellness may save nearly $100,000 more for retirement than someone who does not manage their health well.
October stock market volatility may signal a shift
Recent stock market volatility reflects a process of pricing in the fact that the global growth outlook has diverged.
Italy may be conduit for EM contagion
If Italy's populist government increases government debt, prices of Italian bonds and banks could drop and trigger a larger crisis for the region and world.
The views and opinions expressed are those of the speaker, are subject to change with market conditions, and are not meant as investment advice.