December 13, 2012

Some of the firm's top experts gave their forecasts for the coming year for the U.S. economy, U.S. and international bonds, and the European sovereign crisis.

  • U.S. Economic Outlook: The cyclical recovery gains traction as structural corrections advance. Recession risk is low but there are few visible engines for near-term acceleration.
  • Fixed Income Outlook: The near-term trajectory of interest rates depends on progress in the eurozone debt crisis and the U.S. fiscal policy debate. Opportunities still exist, but credit research is now more important than ever.
  • European Sovereign Crisis: The traditional recipe for solving sovereign crises is not feasible in the eurozone. This crisis has three possible outcomes.

The views are as of November 20, 2012 and may have changed since that time. This information is provided for informational purposes only and is not intended to reflect a current or past recommendation, or investment advice of any kind. Opinions and commentary do not take into account the investment objectives or financial situation of any particular investor or class of investor. Investors will need to consider their own circumstances before making an investment decision.