The economy grew slightly faster in Q1 (0.3%) than originally thought (0.2%), but the bigger picture is that the outlook remains soft. Employment has started to fall again and a painful fiscal squeeze is imminent. Accordingly, we expect inflation to drift lower over the medium term and that interest rates and bond yields will stay low for a prolonged period.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.