Tapering Has Got to Be on the Table, UBS AM's Briscoe Says

The transcript discusses the current state of commodity prices and their impact on inflation, suggesting that companies are beginning to pass on costs to consumers. It highlights the potential for tapering by central banks, with hints already given through reduced corporate bond purchases. The discussion covers market reactions, particularly in relation to upcoming events like Jackson Hole, and the implications for yields and volatility. The transcript also explores credit market conditions and suggests a shift towards floating rate products as a strategic investment move.

What is the expected impact of companies passing on increased costs to consumers?

• Lower household spending

• Higher inflation

• Decreased commodity prices

• Stable CPI budget

What is the main reason for the weak unemployment numbers despite record job openings?

• Delayed job market recovery

• High inflation rates

• Lack of skilled workers

• Increased commodity prices

How might markets react to the anticipated tapering announcements?

• Decrease in bond yields

• Experience increased volatility

• Increase in unemployment

• Remain stable

What investment shift is being observed in response to market conditions?

• From fixed rate to floating rate products

• From short to long duration bonds

• From high yield to investment grade credit

• From equities to bonds

Where might investors find opportunities given the current market environment?

• In long-duration bonds

• In high yield markets with short duration

• In fixed rate products

• In investment grade credit with high spreads