Latest news with #fund managers
Wall Street Journal
3 days ago
- Business
- Wall Street Journal
A Mystery in the High-Yield Muni Market: What Are the Riskiest Bonds Worth?
When a tiny mutual fund dumped bonds recently, the low prices it got affirmed an alarming reality for investors in risky municipal debt: Many securities turn out to be worth less than shareholders have been told. Shares of Easterly Asset Management's high-yield muni fund in early June cost about $6, based on Easterly's estimated value for each bond in the fund. But many of those bonds hadn't traded in years. And when Easterly began rapidly selling some last month, buyers weren't willing to pay nearly the amount fund managers had estimated.
Wall Street Journal
7 days ago
- Business
- Wall Street Journal
Investors Are No Longer Bracing for a Recession
Concerns that President Trump's April "Liberation Day" tariffs could trigger a global recession have eased dramatically, according to Bank of America's latest survey of fund managers. Some key findings: A net 59% of investors polled in July said a recession was unlikely—a big flip from the net 42% who feared one in April. Investor sentiment is at its most bullish since February, driven by improving expectations for corporate profits. Some 42% of investors expect second-quarter company earnings will beat forecasts. Trade wars are still the biggest concern, with expectations for final U.S. tariff rates on other countries rising. Most expect the Federal Reserve to cut interest rates one or two times by year end.
