Fixed income for Canadians, fixed income by Canadians

Franklin Templeton Institute’s Stephen Dover and Larry Hatheway offer insights and market implications from the Fed’s meeting in Jackson Hole, Wyoming.

ClearBridge Investments: We believe the underlying health of the labor market remains solid, despite the recent shocks. As the impacts from these shocks fade, the resilience of the US economy will once again shine through as we move into 2026 in the form of a pickup in job creation.

The concept of "American exceptionalism," representing the country's extraordinary economic, institutional, technological and financial attributes that have recently been driving significant investment returns, is currently being questioned due to recent underperformance in US stock and bond markets. This article examines whether America’s fundamental strengths in innovation remain intact and if it can continue to underpin solid investment performance.