From Inflation to Recession Fears – An Opportunity in Core Fixed Income

December 15, 2022 — The Consumer Price Index (CPI) reading for November surprised to the downside for the second consecutive month, leading to the notion that inflation has peaked and shifting investors’ concerns to the potential for an economic slowdown. In light of this data, the FOMC carried on with the expected 50 basis point hike in the federal funds rate while signaling further hikes “until the job is done.” In this edition, we review recent developments in inflation, growth, and policy, as well as what investors can expect to start 2023.