High Quality Income Bonds

Developed market (DM) central banks (CB) clearly have a hawkish stand on interest rates in order to combat rising inflation. Yet, we believe that the market has overdone somehow the move and in short-term, yields for High Quality fixed income instruments should not go up any further. We expect that, in 2023, as inflationary pressures ease and some of the major central banks turn more dovish, yields should fall for the same.