Normal
With the Australian Government 2047 bond trading at 1.448%, and inflation breakevens trading at even more miserly values, the long run market implied forecast for growth and inflation is decidedly Japan-esque.For years the likes of the technocratic Central Bankers and their academic brethren were so sure that they could avoid the road that Japan went down simply by pulling the right levers at the right times and now they are embarking down that very same road when all the evidence from Japan, i.e. low or even negative CB rates, QE, QQE, etc are not going to pull them out of the sinkhole.They won't admit they don't understand the problem, so how can they possibly solve it.
With the Australian Government 2047 bond trading at 1.448%, and inflation breakevens trading at even more miserly values, the long run market implied forecast for growth and inflation is decidedly Japan-esque.
For years the likes of the technocratic Central Bankers and their academic brethren were so sure that they could avoid the road that Japan went down simply by pulling the right levers at the right times and now they are embarking down that very same road when all the evidence from Japan, i.e. low or even negative CB rates, QE, QQE, etc are not going to pull them out of the sinkhole.
They won't admit they don't understand the problem, so how can they possibly solve it.
Hello and welcome to Aussie Stock Forums!
To gain full access you must register. Registration is free and takes only a few seconds to complete.
Already a member? Log in here.
