ING

Daniel P. Donnelly, Head of Investment Communications

Eight of the 17 euro zone nations currently are in recession; the region as a whole sidestepped this condition by only the slimmest of margins after reporting zero growth for the first quarter. Meanwhile, recent political developments and changes in policymaker rhetoric suggest that resistance to the German-championed age of austerity is mounting in the currency bloc. In contrast, the pro-growth path the U.S. followed out of the Great Recession has thus far provided a smoother trip, though softness in recent data has some fearful of another bout of the spring/summer economic doldrums.

Douglas Coté, CFA, SVP & Chief Market Strategist

The bears grew hopeful early in the month, as global markets were spooked by events in the euro zone: Spain briefly brought back fears of bailout Armageddon, the Dutch government collapsed, and PMI numbers for the region came in weaker than expected. April Fools! The bull market remains intact and offers compelling value for those looking to build wealth.

Kurt Kringelis, CFA, CPA, J.D., Senior Portfolio Manager, U.S. Credit

After a strong start to the year, fixed income markets have given back some of their outperformance versus Treasuries. Despite better-than-expected first quarter corporate earnings, the absolute level of revenue and earnings growth was relatively weak and full-year guidance did not change much.

Jeff Bakalar, Senior Vice President and Group Head of the ING Senior Loan Group

Loan prices once again remained fairly insulated from the gyrations experienced this week across most major markets. The S&P/LSTA Leveraged Loan Index (the “Index”) returned 0.15% for the seven day period ended May 10, as the average bid rose 6 bps to 94.73.

Equity markets sagged, as political uncertainty in Europe weighed on risk assets. The DJIA posted its worst week of 2012, and the S&P 500 hit a two-month low. European and Asian markets suffered moderate losses, while emerging market stocks had their biggest weekly loss since November.

Jeff Bakalar, Senior Vice President and Group Head of the ING Senior Loan Group

As we turn the calendar to a new month, we see a market that's still noticeably better bid but, in many cases, without a real offer.

Jeff Boundy, Portfolio Manager; Toby Tolino, Portfolio Manager

Just as the Occupy Wall Street movement is stirring back up for a resurgence, so too has the rally in the tax-exempt municipal market.