Latin America and the Caribbean are experiencing renewed economic importance, driven by strong commodity exports, growing demand for critical minerals, and shifting global trade and investment dynamics. Spanning from Mexico and the Caribbean to Argentina and Chile, the region benefits from vast natural resources and increasing geopolitical relevance, positioning it for sustained growth despite global uncertainty.

Fixed income markets enter the second half of 2026 with a broadly supportive backdrop, but also clear risks. Growth remains resilient, credit fundamentals are solid, and demand for income is still strong.

The global credit landscape is evolving rapidly, shaped by persistent inflation concerns, shifting monetary policy, resilient corporate fundamentals and volatility. Against this backdrop, blue-chip corporate issuers are increasingly being seen as less risky than many sovereigns. However, in this uncertain context, returning to fundamentals, including issuer quality and diversification is key.