The US Federal Open Market Committee’s ‘dot plot’, which signals members' individual forecasts, suggested that inflation would not reach 2% until 2023. If correct, the Fed is likely to maintain monetary policy at highly accomodative levels for a considerable period.
Corporate credit spreads tightened, with BBB-rated issuers and high yield credit outperforming.
US equity markets experienced a strong, but volatile, quarter, with technology stocks rallying to record highs before giving back some of these gains at the end of the quarter.
The US dollar broadly depreciated over the quarter.