Allspring's Pacquement

The video discusses recent trends in inflation, highlighting a peak in commodity prices and a potential turn in food inflation. It explores fixed income investment opportunities, noting that bonds are becoming more attractive. The bond market is now in a more normal environment, reducing the need for high-risk investments. Corporates have managed their debt well, pushing maturities to later years, which may prevent a spike in defaults. The economic outlook remains uncertain, with potential positive impacts from China's reopening and Europe's recovery, but recession risks still exist.

In what ways has the bond market environment changed compared to the previous years?

What implications do the modest growth targets in China have for global inflation?