WILL THE GHOST FROM 1970s RETURN?
With the Russia-Ukraine conflict threatening to reshape the international economic landscape, professional investors around the world are growing increasingly worried about the outlook for global growth.
In the Bank of America’s latest Global Fund Manager Survey, which canvasses the views of fund managers managing about US$1 trillion (S$1.36 trillion) in assets every month, 62 per cent of respondents said they forecast stagflation, more than double from February’s reading of 30 per cent.
While Singapore-based economists TODAY spoke to were not expecting stagflation based on the current economic situation, some of them noted the increased risk of such a situation playing out.
Mr Hartmut Issel, UBS Wealth Management’s head of Asia Pacific equities and credit, said that the bank’s base case is that there will not be stagflation in the US.
And given Singapore’s economic links to the…
