What the Fed’s move may mean
The Fed raised rates, and expects the pace of hikes to pick up in 2017. What could it mean for bonds?
Fidelity Viewpoints, December 14, 2016
“For the second time in roughly a decade and the first time in a year, the Federal Reserve has voted to raise interest rates. Treasury bonds, which had already seen sharp losses since the election in November, saw yields climb in trading after the announcement.
While the rate change at the December meeting was widely anticipated by the market, the future path of rates, and what it may mean for bonds and other markets is less certain. Viewpoints caught up with Fidelity Government Income Fund Manager Bill Irving, to get his take on the December meeting, the path forward for the Fed, and what it may mean for investors.” Read more
I think it is premature to call the end of the three-decade bull market for bonds.
