By Kurt Reiman and Rachel Siu
Stock market volatility perked up in recent weeks after what had seemed like a one-way move higher. Kurt and Rachel reflect on the role of government bonds in portfolios as effective stabilizers during risk-off periods like the one that reemerged this past week.
The US Federal Reserve's updated Summary of Economic Projections announced last week confirmed that the economy would take years to fully heal from the coronavirus shock and that policy rates would be held at virtually zero through the end of 2022 (see the chart below). The