Search Results for: global inflation

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

Global Economic Strength Indices (Imports/Exports, Confidence, Inflation) Global trade is recovering after a period of weakness. That’s good news for inflation. Image: Arbor Research & Trading LLC

Global Impact of Rising Oil Prices on Global GDP and Inflation Nice chart showing the global impact of rising oil prices on GDP and inflation. Image: Oxford Economics

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 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 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

Inflation – U.S. Core CPI Goods and Core CPI Services 20 years of almost no inflation in goods. Image: Deutsche Bank Global Research

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

Global FX Volatility In the current environment of low inflation and low interest rates, volatility in foreign exchange markets hits record low. Image: BofA Global Investment Strategy

Core Inflation and Average Trailing S&P 500 P/E Ratio In periods of low inflation, the P/E ratio is higher. Conversely, high inflation tends to depress the P/E ratio. Image: Goldman Sachs Global Investment Research