The Bank of Japan has taken the historic step of ending negative interest rates and may hike further. Meanwhile, the US Federal Reserve seems to be approaching rate cuts, but an economic “no landing” could delay this. Paul Diggle and Luke Bartholomew speak to Sree Kochugovindan and James McCann about the outlook for monetary policy in Japan and the US.

The ‘great inflation’ saw not only price growth, but also inflation volatility, spike higher. And even as inflation itself has fallen back more recently, inflation volatility has remained elevated. Paul Diggle and Luke Bartholomew discuss why structural changes in the global economy, stalling globalisation, geopolitical fragmentation, and climate change may all mean that higher inflation volatility is here to stay – and why this would have significant implications for financial markets and portfolio diversification. 

China has just announced a GDP target of “around 5%” for 2024. Paul Diggle and Luke Bartholomew speak to Robert Gilhooly, senior emerging market economist at abrdn, about the challenges and opportunities facing the Chinese economy. 

US inflation picked up in January, and there are lingering concerns that the “last mile” of bringing inflation back to target will be the most difficult.

Paul Diggle and Luke Bartholomew talk to James McCann about the drivers of US inflation, the positive supply-side shocks that made the initial decline in inflation so rapid, the 1970s experience that might be weighing on policymakers, and whether the US is at risk of a fiscal crisis.

The Eurozone economy is stagnating and the German economy in particular is facing significant cyclical and structural headwinds. We discuss why.

A majority of the global population are heading to the polls this year, bookended by Taiwan just gone and the US in November. Paul Diggle and Luke Bartholomew are joined by Lizzy Galbraith, Political Economist at abrdn, to discuss what is at stake for economies and markets. Overarching all these elections are unifying themes of political polarisation, geopolitical uncertainty, and the changing nature of globalisation.

India was the fastest-growing major economy last year, and overhauled China as the most populous country. Paul and Luke discuss prospects for the Indian economy with Michael Langham, Emerging Markets Analyst at abrdn. They talk about India’s demographic tailwinds, its infrastructure needs, whether India can be a ‘friendshoring’ winner, and what a third Modi term could have in store. 

abrdn’s economics team ask and answer the crucial economic, political and market questions investors have for 2024. These include the path of inflation, the outlook for US, China and Eurozone growth, the likely pace of interest rate cuts, the impact of a possible Trump presidency, and the potential for AI to drive a productivity boom 

Paul and Luke talk to Sree Kochugovindan, Senior Economist at abrdn, about the return of inflation to Japan, and the outlook for Bank of Japan monetary policy as a response. Negative interest rates and yield curve control could end in 2024, if wage growth and inflation expectations continue moving higher. 

Paul and Luke are joined by Lizzy Galbraith, political economist, to discuss the transmission channels from the conflict between Israel and Hamas into the global economy. They focus on geopolitical risk premia, energy markets, and the potential global inflation and central bank consequences of severe escalation scenarios.