Insight
Corporate Bond Market Insight - Rising Prices, Resilient Credit and A Reduced Fed Footprint
June 12, 2026
What were the key takeaways from last month’s numbers? Our corporate bond specialists look back at the market’s performance and provide incisive commentary to help you make sense of what drove the market—and what may be on the horizon for fixed income investors.
Key takeaways from the latest edition:
Inflation rose in May, with headline CPI at 3.8% and Core PCE at 3.3%, as increasing energy costs filter through the broader economy.
Kevin Warsh’s arrival as Fed chair signals a likely shift toward tighter inflation discipline, reduced forward guidance and a smaller Fed footprint in markets.
Investment-grade corporate bonds remained well supported while strong earnings, solid balance sheets and attractive yields helped absorb heavy new issuance.
Although growth and labor data remained firm, consumer spending is weakening while inflation outpaces wages and households rely more on savings and credit cards.
