A few headline points crossing via Bloomberg on PIMCO's 'baseline views' for next year
A few headline points crossing via Bloomberg on PIMCO's 'baseline views' for next year
- China growth of 6%-6.5%
- Expect the Federal Reserve to hike rates 2 or 3 times
- UK growth 0.75%-1.5%
- Eurozone growth 1%-1.5%
- Expecting $1.5t in US fiscal stimulus over 10 yrs
- Expect central banks maintain their stimulus
- Yuan depreciates about 7% next 12 months
- Global real GDP growth 2.5 to 3%
- Secular new normal/new neutral theme remains intact
- Japan inflation significantly below 2% target
- Japan GDP growth 0.75%-1.25%
- Bank of England stopping after existing QE
- UK inflation over 2% target
- Eurozone inflation over 1%
- US GDP up in above-trend 2%-2.5% channel in 2017
- Increased risk fed will 'step up' pace of rate hikes
