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The fixed income market showed moderate resilience with subdued volatility as central banks prepared for anticipated rate cuts amid slowing global growth and easing inflation. UST yields experienced a mild flattening between the 2Y and 10Y, with 2Y yields declining by approximately 5bp while the 10Y remained around 4.25%, reflecting market expectations of a soft landing and subsequent policy easing. Investment grade credit spreads hovered near historical lows, limiting further tightening potential, though fundamentals remain stable with some caution on credit quality deterioration as the cycle matures. Emerging market hard currency debt performance was supported by a weaker dollar environment and favorable carry, despite lingering geopolitical uncertainties. The overall outlook balances risks from fiscal deficits and policy uncertainties against the benefits of falling rates and positive carry, suggesting modest mid-single-digit total returns in core sovereigns and select credit markets over the coming months.