Rick Rieder is BlackRock's CIO of Global Fixed Income. He's posted up a tweet storm on Friday's jobs report, in brief:
- there is a very gradual, but persistent, moderation within the broader employment picture
- When you sum up the conditions of these employment indicators and the trend that they clearly depict, in terms of cooling, and a reversion to more of a pre-Covid labor normalcy, this can marry quite nicely to inflationary conditions that have also reverted quite closely to pre-Covid levels.
- the appropriate conditions are unfolding for the @federalreserve to begin reducing its very restrictive Fed Funds rate by 25 basis points
Reider on what it means for bonds:
He may well have read Adam over the weekend:
- I believe this is a rare moment to lock in investments with high rates for a long duration in the same way that the pandemic was a once-in-a-lifetime to lock in low borrowing rates.