Quarterly Economic Report, Q1 2021
The SVB Asset Management Economic Report is a quarterly review and outlook on economic and market factors that impact global markets and business health.
The Fed continues to support the market by keeping interest rates low.
Fed is leaving the fed funds rate at the zero bound, targeting over 2% inflation before rate hikes.
2020 was a record year for US IG corporate bond issues.
As economy was recovering, liquidity became less of a concern; companies continued to issue bonds.
Monetary policy can only help so much.
A sustained and robust recovery for the American consumer will require more fiscal stimulus.