PGIM Fixed Income: Commentary on latest Fed decision

PGIM Fixed Income: Commentary on latest Fed decision

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Ellen Gaske, Lead Economist for the G10 economies at PGIM Fixed Income:

“At present, it is too soon to call the ultimate destination for long-term rates and the credit cycle. That will have to wait until it becomes clear how the Fed’s fight to contain inflation concludes. In particular, the ultimate peak in rates will key off of the peak Fed funds rate with the course for credit spreads set by the Fed’s failure or success in achieving a soft landing.”