- US Life Insurers Positioned to Weather Rising Rates, High Inflation
- Key Credit Risks Evolve as Stagflation Potential Rises
- Stagflation Would Pose Unique Challenges Across US Corporate Sectors
- Rising U.S. House Prices Drive Interest in Essential Housing
- Reinsurance, London Market Sector Outlooks Lowered to Neutral
Inflation and Rates
The risks to global inflation staying higher for longer have increased amid higher commodity prices and sustained trade and supply chain interruptions. This could add to pressures to raise rates in major economies even as risks to growth rise. Many sectors and asset classes are untested in a secular rising rate market and interest rate risk sensitivity is a key credit risk for the corporate bond market.
None available at this time
02Sector Heat Maps
Fitch assessed the vulnerability of ratings against a global stagflation scenario. The heat maps measure our expected ratings exposure at the global and regional sector level against an adverse macroeconomic case including materially lower growth and higher for longer inflation and interest rates. Read our full comment here.
Global Economic Outlook
The outlook for global GDP growth has deteriorated significantly as inflation challenges intensify and Russia’s invasion of Ukraine threatens global energy supplies.