All the Credit, Ep. 46
A discussion on the end of the hiking cycle, the impact of fiscal deficits on long-term rates, and the interplay between rates, curve shape, and the economy.
After years of strict COVID lockdowns, China’s domestic consumer economy is rapidly re-opening. Meanwhile, global manufacturing—normally an area of Chinese dominance—is being challenged by tighter credit conditions after years of progressive central bank hawkishness. In addition, the country still finds itself in the global geopolitical crosshairs as highly restrictive policies against China remain.
In this episode of All the Credit®, PGIM Fixed Income’s Gerwin Bell, PhD, Lead Economist for Asia, discusses China’s re-opening and how it could be different from recoveries from past decades. Gerwin also provides his 2023 GDP and inflation forecasts for China, assesses the country's policy initiatives and what they could mean for its interest rates and currency, and shares his long-term growth outlook.
Michael Roper, CFA, European Investment Grade Corporate Bond Portfolio Manager, joins as co-host for this timely discussion.
Recorded on April 24, 2023.