Macro sentiment around the path of interest rates, preference for risk-taking and the general economic outlook has had a remarkably similar impact on corporate credit in 2023 as it did in 1H 2022.

The correction in U.S. commercial real estate continues, with ultra-low interest rates and abundant liquidity coming to an abrupt end. The market now must come to grips with a world in which capital is more expensive.

Are leading economic indicators sending false signals? If not, then Houston we have a problem.

Today’s backdrop poses challenges for investors, but we believe areas of opportunity remain across CRE sectors.

Markets face a growing list of uncertainties, but we believe that credit’s strong fundamentals should help the asset class find solid footing.

The economy has momentum as we enter Q2, but markets are pricing in risks as policy uncertainty, an inverting yield curve, rising inflation and pessimistic consumer sentiment loom.