Among other things, this outcome complicates our ability to assess
the present stance of monetary policy.
Not exact matches
Thus, we believe that if
monetary policy maintained its
present stance for too much longer, there is little risk
of a serious slowdown, but a high risk that the economy in time would overheat.
Notwithstanding the recent increases in interest rates, the
stance of monetary policy is not unduly restricting growth at
present.
Still, at
present, there are enough headwinds from valuations, fiscal strains, unsustainable
monetary policy, sovereign default risks, and other factors that we expect to maintain a «line»
of downside protection with index put options even if we shift to a more constructive
stance.