Guy Stephens's 2017 outlook: A year of diverging paths

Fed strives to be ‘ahead of the curve’

clock • 3 min read

The coming year should offer asset allocation opportunities for investors, believes Guy Stephens, as all the major developed economies continue to grapple with their own unique sets of issues

The decision by the US Federal Reserve's Federal Open Market Committee (FOMC) earlier this month to raise interest rates by 25 basis points had been widely expected. Markets must now consider the possibility of three further increases during 2017 as indicated by the FOMC as they strive to "get ahead of the curve". They have for some time wanted to raise policy rates more aggressively but on several occasions were thwarted by factors beyond their control. There is no doubt those responsible for setting US monetary policy would like to have higher policy rates if only to give scope to redu...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

UK inflation rises to 3.8% in July

UK inflation rises to 3.8% in July

Core CPI also up to 3.8%

Sorin Dojan
clock 20 August 2025 • 2 min read
Bank of England meets expectations and cuts rates to 4%

Bank of England meets expectations and cuts rates to 4%

Lowest level in two and a half years

Isabel Baxter
clock 07 August 2025 • 4 min read
Think tank warns UK fiscal hole could surpass £50bn by 2030

Think tank warns UK fiscal hole could surpass £50bn by 2030

Government not on track to meet ‘stability rule’

Sorin Dojan
clock 06 August 2025 • 1 min read