Morningstar: The Deficit is the Biggest Risk for the Bond Market, Says Matt Eagan of Loomis Sayles

It’s an unusually eventful time for the bond market. Prices have been roiled by the United States’ trade war against the world, Moody’s downgrading the country’s credit rating, and a tax bill that stands to add trillions to the federal budget deficit. These concerns aren’t misplaced, and the growing deficit is unsustainable, posing a greater risk than tariffs, according to Matthew Eagan, a fixed-income veteran who runs the Full Discretion Team at Loomis Sayles.