Weekly Market Update
G. David MacEwen Chief Investment Officer, Fixed Income
G. David MacEwen, Chief Investment Officer of Fixed Income at American Century Investments,® describes “the growth dichotomy” that has developed during the recovery from the Great Recession, and how it’s restricted the recovery, softened consumer sentiment, influenced the fixed income team’s macroeconomic outlook, and shaped some of the team’s sector outlooks.
Dichotomy: A division or contrast between two things that are or are represented as being opposed or entirely different; a division or the process of dividing into two mutually exclusive or contradictory groups.
One of the key characteristics of the subpar, slow-growth recovery we have experienced since the Great Recession of 2007-09 has been the clear divide between the recovery rates of the business and consumer sectors. Basically, businesses (especially bigger, multinational firms) have bounced back faster and stronger than the average