Stephanie Flanders: What will 2017 bring for global investors?

2016 will be remembered for political upsets, with the UK vote to leave the European Union and the election of Donald Trump as US president highlighting voter dissatisfaction with mainstream politicians and parties. For investors, it will probably also go down as the year when global deflation fears came to an end, long-term interest rates finally started to rise and central banks stopped being the ‘only game in town'. Faster reflation and reduced emphasis on monetary policy would both tend to increase the returns of equities relative to bonds in the future, and to point investors in ...