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The US economy should experience a “benign disinflation” over the next six months as pandemic-infused snarls unravel. That should mean good things for stocks, at least in the short term.
Chinese deflation is exacerbating US inflation, which could lead to further wage price spiraling and a US core inflation figure stuck above 3.5 to 4 per cent according to BCA Research.
Peter Berezin, chief global strategist at BCA Research, discusses his view of the US economy from an “Oasis of Optimism” on a recent Middle East trip.