Inflation or Deflation

Inflation or Deflation? I read an interesting article in Money Mail a few days ago with the headline – “Will monetary ‘shock and awe’ send inflation soaring or are we set for deflation?” It is well worth reading. You can find it here: https://www.thisismoney.co.uk/money/investing/article-8414637/Are-set-soaring-inflation-deflation-way-gold-looks-good-bet-investors.html Data shows inflation in the UK at least is tumbling. This is hardly a surprise with …

Bank of England Raises Interest Rates – Does it Matter?

The widely expected rise in the Bank of England base rate by 0.25% p.a. to 0.75% p.a. was announced yesterday. A surprise however was the unanimous 9-0 vote in favour by the members of the Bank’s Monetary Policy Committee. Was the rise justified and what will the consequences be? To set the context, a rate of 0.75% p.a. is hardly …

Investment Themes for 2017

At the start of the year fund managers, economists and other investment professionals as usual have put forward their views on the state of global economy and the direction of equity and bond markets. So what will be the key themes for investors in 2017? There is a wide consensus that this year could be a pivotal year for markets. …

Prospects for UK Inflation

The prospects for UK inflation has divided investors but I have held the view for several years now that inflation will surprise on the upside. Opponents point to the muted effect on inflation from QE and slow economic recovery from the worst global financial crisis and recession in living memory. Governments, companies and individuals have been paying off debt and …