I got in touch with L&G in 2014 to ask them about the average duration of holdings
in the Global Inflation Linked Bond Index Fund, they responded that it was 8.20.
Not exact matches
Even if Canada doesn't start dropping payloads of cash itself — something Cooper says he does not foresee
in the next three years, at least — the ripple effect of a central bank explicitly targeting higher
inflation and adopting formerly verboten measures to get it would be felt on these shores
in the form of increased
global volatility.
«Recent
global economic and financial developments may restrain economic activity somewhat and are likely to put further downward pressure on
inflation in the near term,» the policy committee said
in its post-meeting statement.
Stocks are facing a trifecta of bad news: peak earnings, slowing
global growth and a pickup
in inflation.
The bank added that if high
inflation expectations and the
global growth environment continues, equities should hold up despite the rise
in yields.
Analysts attribute the turbulence
in global bond markets to emerging signs of firmer economic activity and expectations of higher
inflation.
The Fed has been a target of some conservative critics
in the U.S. Congress, who say the bank risked sparking
inflation with its easy monetary policies
in response to the
global financial crisis.
«We have an
inflation problem right now,» said Landry's Inc. founder and CEO Tilman Fertitta, the billionaire who owns and operates more than 450 restaurants across 40 unique brands,
in an interview at the Milken
Global Conference.
LONDON, Jan 31 (Reuters)-
Global investors trimmed equity holdings by 1.2 percentage points
in January, concerned that markets have grown complacent after a thundering bull run and seeing risks of an
inflation wake - up call.
LONDON, Jan 31 -
Global investors trimmed equity holdings by 1.2 percentage points
in January, concerned that markets have grown complacent after a thundering bull run and seeing risks of an
inflation wake - up call.
The
global economy has recovered strongly
in recent months, but rising oil prices not only put the squeeze on fragile consumers, they also raise the spectre of
inflation and fan the flames of political unrest.
Timmer: Yeah, so if globalization, which of course we've had since the early»90s but especially
in the 2000s, if the by - product of globalization is stronger
global growth and lower
inflation, then protectionism, I think is a form of deglobalization, and should bring the opposite.
«Tighter
global monetary policy is needed
in order to contain
inflation pressures and ward off financial stability risks,» the Basel - based central bank of central banks warned
in its most recent annual report.
Goldman Sachs said
in a note last week that factors including weaker economic activity, lower - than - expected headline
inflation, continued tightness
in liquidity conditions and subdued
global activity and dovish central banks around the world could push the RBI to ease its policy.
«Rates and
inflation, even though they have ticked up, are still at very low levels relative to history, monetary policy is still easy, said Michael Arone, chief investment strategist at State Street
Global Advisors
in Boston.
The
global economy risks becoming trapped
in a low growth, low
inflation, low interest rate equilibrium.
«The rise
in long - term inflationary expectations... suggests that part of the recent rise
in headline
inflation may now be expected to persist longer than previously thought,» the Paris - based group observed
in the
Global Economic Outlook released today.
In 2005, the potential annual growth rate of the
global economy — the rate at which there is no upward pressure on
inflation — was 5 %.
However,
in the years since the
global financial crisis the idea gained prominence, and several central banks decided to take the plunge after 2014
in an attempt to boost weak economic growth by creating
inflation.
«
Inflation in the euro zone is still below target, there's no need to raise rates or to tighten monetary policy,» Willem Buiter,
global chief economist at Citigroup, said at the World Economic Forum
in Davos.
Returns from that era were boosted by a confluence of factors that are unlikely to come together again: declines
in inflation and interest rates, strong
global GDP, low corporate tax, and rapid growth
in China.
Five years on,
inflation is a millstone, and few can agree on whether quantitative easing is the right antidote for the U.K. Moreover, one of his most immediate tasks will be whether to break up the Royal Bank of Scotland, and his decision
in this area will be harbinger of the Bank's policies toward the whole U.K. banking industry — policies that will have
global reverberations.
Still - muted
inflation and uncertain developments ahead «counsels prudence
in the removal of policy accommodation,» Brainard said, according to prepared remarks she was to deliver to The Chicago Council on
Global Affairs.
«Recent
global economic and financial developments may restrain economic activity somewhat and are likely to put further downward pressure on
inflation in the near term,» the Fed's Board of Governors said
in a statement.
«If
global sentiment remains strong and
inflation muted, then financial conditions could remain loose into the medium term, leading to a build - up of financial vulnerabilities
in advanced and emerging market economies alike.
With
global synchronized growth underway and demand outstripping supply
in a number of cases, not to mention the U.S. dollar
in decline and
inflation on the rise, commodities are poised to be among the best performing asset classes
in 2018.
Analysts said after a temporary boost markets will focus on more fundamental matters again,
in particular the progress of the
global economic recovery and how central banks respond to higher
inflation.
Rapid demand growth; commodity price volatility; the influence of a broad range of
global conditions on wages: all these factors can trigger large changes
in relative prices, and this makes the job of capturing underlying
inflation harder.
That's boosting the outlook for
inflation, causing the rout
in bonds to deepen
in Europe after more than $ 1 trillion was erased from the value of the
global debt market.
It's not gonna happen through
inflation in a world of
global supply - chains when there's no capital controls.
What was not stressed was that the main source of
global inflation was the United States, whose war
in Southeast Asia had created a budget deficit and forced the world off gold.
Indeed, the recent spurt of integration has occurred during a sustained period of relatively strong
global growth, relatively stable and low
inflation, and, although less widespread, a reduction
in the volatility of growth.
Thus, until the advent of the
global financial crisis, mainstream authors paid little attention to the fact that wage growth had lagged behind the sum of productivity growth and
inflation,
in most countries and for several decades, and that as a result wage shares had fallen.
We believe this has been a critical factor behind the multi-decade drop
in global yields, beyond the more familiar decline
in potential growth as societies age, productivity softens and central bank
inflation targeting keeps price volatility
in check.
Global financial crisis: causes, consequences, cures Central bank responses to the crisis: issues of democratic accountability, QE and
inflation, regulatory reform Fiscal policy responses to the crisis: issues of
inflation, stimulus, debt sustainability Real estate prices and mortgage problems New directions
in economics
in light of the GFC Impacts of the GFC on the BRICS and the developing world Modern Money Theory, Functional Finance Job Guarantee / Employer of Last Resort Problems of Euroland,
Inflation expectations clearly bottomed with the resynchronization of
global growth
in February 2016.
Of course, a significant weakening of the
global economy would result
in lower commodity prices and generally lower underlying
inflation pressures.
For equity markets, the combination of low interest rates, strong economic growth and low
inflation has proved very beneficial, with
global share markets rising solidly
in each of the past three years.
Long - term interest rates are currently low due to low
global inflation expectations and moderate growth potential
in Canada due to lower oil prices, a heavily indebted household sector and a weakened manufacturing base due to relatively high unit labour costs.
Equally importantly, a
global shift to allow higher
inflation would run the very real risk of undermining trust
in central banks and their commitment to price stability.
The
global financial crisis is providing a significant stress test of the
inflation - targeting framework, including
in Australia.
The backdrop that set the stage for these results, and for the ongoing bull market
in stocks more generally, has been
in place since the
global financial crisis — tame
inflation, historically low interest rates and moderate economic growth
in the United States have all been supportive for growth investing.
Reflation is going
global, and the reflation trade — favoring assets likely to benefit from rising growth and
inflation — has room to run,
in our view.
Since the
global financial crisis
in 2008 - 09, a combination of low
inflation expectations and a bond - buying program by the Federal Reserve have helped keep bond yields low but they have climbed this year as
inflation has picked up and the Federal Reserve raised interest rates.
In December 2015, S&P Dow Jones Indices launched the S&P Real Assets Index, the first index of its kind, which is designed to measure
global property, infrastructure, commodities, and
inflation - linked bonds, using liquid and investable component indices that track public equities, fixed income, and futures.
By Claire Milhench (Reuters)-
Global investors» equity holdings rose to six - month highs
in December on bets that U.S. President - elect Donald Trump's promised fiscal splurge would spur higher growth and
inflation, a Reuters monthly poll showed on Thursday.
This modest
inflation comeback is just one of the three key investing themes we see shaping economies and markets
in 2018, as we write
in our new 2018
Global Investment Outlook.
Scott Mather, CIO U.S. core strategies, Joachim Fels,
global economic advisor, and Olivia Albrecht, fixed income strategist, discuss PIMCO's view on the stock / bond relationship, value
in U.S. assets, the Fed's
inflation target and rising rates
in 2018.
Some reasons for the fall include: the Federal Reserve lowering the Fed Funds rate, declining
inflation, improved monetary efficiency, economic slack, the continued
global demand for US assets, and relative stability
in the US vs. other markets.
In 2017, the
global economy saw a confluence of synchronous growth, low
inflation and low volatility.