According to analysts from the leading investment banks, 2017 will be characterized by a moderately positive global growth and a return of inflation (the latter to a greater extent in the US and UK, and to a lesser extent in the EU and Japan). (Continue)

From a macro and political point of view, in the US the focus will be on the reforms promised by the new President, while Europe will have to deal with general elections in France and Germany, with the outcome of preliminary Brexit negotiations and with the first ECB statements relating to the post-QE, expected in the second half of the year. (Continue)

The European HY market posted one of the best performances in Europe in 2016. According to many analysts in 2017, in which a general increase in rates and a steepening of the yield curve is expected, the HY segment, although it would not be immune to a rise in market volatility, may show greater resilience than IG and Govies, thanks to a lower duration. In terms of fundamentals, European issuers remain solid and leading rating agencies provide stable or decreasing default rates for 2017. (Continue)