Market News Commentary - From The Desk of David Loesch 10.12.2018Submitted by Tax Free Municipal Bonds/Fixed Income Specialists/DRL Group on October 12th, 2018
- Blackrock and UBS are indicating that investors should buy intermediate maturities, 10-15 year term. MUNI debt maturing in 22 years or longer has delivered a negative return of 1.80% this year. Many BD’s are looking at this as an opportunity to lock in higher rates as they see a recession coming, which will push yields lower.
- PIMCO indicated that “Bonds look the most attractive in a decade” compared to stocks as rates climb. PIMCO believes that with the rising interest rate environment, you will see continued pressure on equities.
- One thing that could hurt the EOY will be tax loss selling, with the gains in the equity markets you might see this start to happen in November.
- The street has taken notice of where the 10T is now 3.22% as of 10/10/2018 and where it has come from.
- Trump continues to attack the FED with the rate moves, this is not helping, with the chatter surrounding our rates and markets.
- The state of IL continues to get “on track” for financial security.
It would be my pleasure to speak to you directly about the current markets and how The DRL Group can be of service to your fixed income investment portfolio. To schedule a time to talk, please email me at firstname.lastname@example.org.
This content is based on the opinions of David Loesch based on his review of articles from Bloomberg.com or CNBC.com.
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