The inflation genie is already out of the bottle – The Property Chronicle
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The inflation genie is already out of the bottle

The Fund Manager

Could this provide a ‘Goldilocks’ scenario?

Economic commentators and central bankers seem at last to be taking inflation risk seriously, rather than assume that current inflationary pressures constitute a short-term phenomena as the global economy bounces back from the deep Covid-linked recession. But as with the Nixon/Johnson era of the 1960s, post the Vietnam war, once inflation takes hold and input shortages feed through into price rises and wage inflation, unless central banks tighten early, inflationary spirals can gain momentum. A debt-fuelled binge of public and private sector spending and tight supply of key materials combine into the perfect inflation storm and, to date, central bank pronouncements have suggested that policy is to become less accommodating, but not for some time yet.

The Fund Manager

About Jo Welman

Jo Welman

Jo Welman is an adviser to Epic Private Equity and the Non-Executive Director for ARK Syndicate Management Ltd, as well as advising several small companies and individuals on the structure and allocation of their investments. His previous roles have included managing balanced portfolios at Barings, Managing Director at Rea Brothers (Investment Management) Ltd, and Executive Chairman at Brit Insurance Holdings Plc.

Articles by Jo Welman

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