The green shoots of fiscal spending are happening across the globe, but it hasn’t gotten to a place where it is coordinated, said Elaine Stokes, portfolio manager at Loomis Sayles & Co, according to Bloomberg.
The challenge for investors lies in working out when government spending will reach a critical level from where it will start pushing bond yields higher, Stokes added.
Key quotes
In the next 5 to 10 years it (fiscal boost and its impact on yields) becomes a factor in markets.
So that’s where the market has to go — we have to turn to a rising rate environment from a falling rate environment.
Share
