3Q, 2021 Commentary: Bond Vigilantes

Summary

• Markets delivered bland returns during the third quarter—a welcome development considering the stellar returns achieved earlier in the year.
• It has been nearly 18 months since COVID-19 hit the U.S., and even with two-thirds of American adults fully vaccinated, the recovery is disjointed and will remain so for the foreseeable future.
• Supply chain issues are beginning to severely affect economic growth and inflation.
• Given the uncertain backdrop, policymakers are unwilling to pull back on historic levels of accommodation, and bond vigilantes could begin to stir.

Read and download the commentary here.