Low inflation background to continue

Fund manager's comment/Paul Thursby So far it has been a grim year for bonds. The degree of sell-off we have seen is similar to the experience of 1994. But is 1999 like 1994? We think not. It is true that the global economy is looking better, with the Anglo-Saxon economies fine and the US particularly robust. Asia looks to be moving ahead, Latin America is still struggling and Europe is finding growth hard to achieve. If Japan produces even zero growth, then a huge cheer will go up. Commodity prices are firmer, but if one looks more closely, non-energy prices are sagging. Looking at cons...