Beyond Bulls & Bears

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Fixed Income

Why Australia May Not Join the Rate-Tightening Party

“We don’t think the RBA is likely to raise rates in the next 12-18 months. There is a heavy load on the shoulders of Australian households. Australia’s economy is benefiting from global growth, particularly in China, but that growth would have to be quite significant to reduce household debt or improve wage growth. If these issues don’t improve in the next year or so, we believe the RBA’s next course of action could be a rate cut.” – Chris Siniakov and Andrew Canobi, Australia Fixed Income team

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Fixed Income

In the Know: Trump’s Fed Chair Pick Seen as Market Positive

“The markets should take some comfort in Powell, as he is a current Fed governor and more or less represents the current state of affairs, business as usual. He has worked alongside Yellen since 2012, and they are philosophically alike (dovish bent).” Christopher Molumphy, Franklin Templeton Fixed Income Group

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Fixed Income

The Fed’s Balancing (Sheet) Act

The Federal Reserve’s September policy meeting played out largely as expected, as US monetary policymakers left the central bank’s benchmark short-term interest rate unchanged. The Fed did clarify when it would begin to unwind its hefty balance sheet, and updated its economic forecasts and interest-rate projections. Chris Molumphy, Franklin Templeton Fixed Income Group CIO, says the communication from the latest Fed meeting should not rattle the markets much, and that the next interest-rate hike now seems most likely to come in December.

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Perspectives

Time to Reset Expectations?

Global markets have been relatively calm this summer despite many uncertainties. Geopolitical risks have continued across the globe, and in some areas, looming monetary policy changes also appear likely. A key question for many investors is whether the sleepy summer period of low volatility will give way to a more turbulent autumn. Franklin Templeton’s senior investment leaders offer their perspective on the markets and discuss where they see opportunities and risks ahead.

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Fixed Income

Global Economic Perspective: October

Perspective from Franklin Templeton Fixed Income Group® More Positive US Data Build Hopes for Better Performance in Second Half of 2016 As the ...

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Perspectives

Global Economic Perspective: September

Perspective from Franklin Templeton Fixed Income Group® Divided Fed Inches Closer To Rate Rise As Fundamental State of US Economy Remains Positive ...

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Emerging Markets

Snapshot View: Fed Remains on Hold

The US Federal Reserve (Fed) decided not to raise interest rates at its September policy meeting, even though some market observers would argue ...

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Emerging Markets

Global Macro Imbalances and Opportunities

Being a contrarian-minded investor isn’t easy at times—it’s difficult to stay fixed to one’s long-term convictions when the markets may not be ...

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Equity

Will Equities See a Sweeter ’16 Ahead?

Global equity markets last year were weighed down by sputtering growth in developed economies, slumping emerging markets and collapsing commodity ...

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Fixed Income

No Fireworks from the ECB as Draghi Plays It Cool

Many market observers seem to have been expecting fireworks from the December meeting of the European Central Bank’s (ECB) governing council. As a ...

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Perspectives

A Decisive Monetary Policy Approach Is About More Than Economics

Speculation about likely major central bank monetary policy decisions is reaching fever pitch ahead of pivotal meetings on both sides of the ...