BlackRock Sees Good Credit Conditions ‘Over Next Few Quarters’

Low global interest rates, ample liquidity, reviving economies and investor demand for income will support credit markets “over the next few quarters,” according to BlackRock’s midyear global credit report.

• The economic restart accelerated in the first half, increasing median estimated annual GDP growth to 6% globally after the easing of lockdowns and lower virus transmissions due to vaccinations
  • Uneven Covid-19 recovery worldwide may result in structural changes across various industries and countries
  • While BlackRock remains “constructive” on credit performance, the team warned to “keep a watchful eye in inflation trends”
  • Bottled-up consumer demand, fiscal spending and accommodative monetary policy ...