Massimo Tosato, Executive Vice Chairman of Schroders plc, looks at the disconnect between investors' expectations and behaviour highlighted by the Global Investment Trends Survey.
We are unconcerned by a single negative reading of -0.1% from UK annual consumer price inflation and expect to see higher inflation as 2015 progresses.
Fixed income fund manager Gareth Isaac discusses whether the recent weakness in bond markets is a short-term setback, or the start of a sustained bear market for fixed income.
Rajeev De Mello, Head of Asian Fixed Income, looks at how falling inflation and a strong US dollar are impacting Asian bonds and currencies.
China's cut to Banks' reserve requirement ratio signals growth concerns after a weak first quarter, but should not be read as “Chinese QE” or an attempt to weaken the currency and we expect more rate cuts to come in 2015.
“The fall in energy prices over the last six months has been largely driven by an increase in global supply rather than a fall in global end demand.”
An acceleration in the advanced economies is offset by weaker growth in the emerging markets to leave our global growth forecast at 2.8% in 2015.Inflation in the advanced world is expected to record its lowest rate for five years in 2015, but picks up in 2016 as the impact of lower energy prices fades. We do not expect sustained deflation in the eurozone or in the wider global economy.
In 2015 we see a mixed weather front across multiple asset classes and regions, with diverging monetary policy and stretched valuations.
Keith Wade gives his view on the outlook for the US economy ahead of the release of the retail sales and consumer confidence data.