Global Inflation

Global Inflation Interesting chart showing that inflation is largely a global phenomenon. Picture Source: J.P. Morgan Asset Management

Asset Price Inflation and “Real Economy” Inflation

Asset Price Inflation and “Real Economy” Inflation Persistent low interest rates could explain the wide divergence between asset prices and real economy prices, over the past decade. Image: Goldman Sachs Global Investment Research

Gold vs. S&P 500 and Inflation

Gold vs. S&P 500 and Inflation Gold is considered to be a hedge against inflation and tends to outperform equities in environments when inflation gets above trend. Image: Goldman Sachs Global Investment Research

Inflation and Capacity Utilization

Inflation and Capacity Utilization This chart suggests that inflation will not be a problem for many years, as economists watch capacity utilization indicators for signs of inflation pressures. Image: Deutsche Bank Global Research

Inflation Assets vs. Deflation Assets

Inflation Assets vs. Deflation Assets The leadership remains deflationary, and the laggards remain inflationary. Deflation assets: government bonds, U.S. investment grade, S&P 500, U.S. consumer discretionary, growth and US high yield. Inflation assets: TIPS, EAFE, U.S. banks, value and cash. Image: BofA Global Investment Strategy

Deflation Assets vs. Inflation Assets

Deflation Assets vs. Inflation Assets The leadership is still deflationary, and the laggards are inflationary. Deflation Assets: government bonds, U.S. investment grade, S&P 500, U.S. consumer discretionary, growth and US high yield.Inflation Assets: TIPS, EAFE, U.S. banks, value and cash. Image: BofA Global Investment Strategy