Inflation, Tariffs and the Growth Dilemma

Rarely does a week go by without tariffs being in the spotlight. In this week’s PERSPECTIVES podcast, we asked Christian Nolting, our Global Chief Investment Officer, what he expects them to mean for investors.

"The uncertainty of tariffs is not helpful for growth," he said, noting that professional investors have very different views, and therefore a range of expectations for tariffs, worldwide. “We expect tariffs at the higher end for Europe, as we have seen with Mexico and Canada,” he added. However, he does see opportunities for negotiations down the road.

Christian also walked us through his expectations for future rate cuts by the Federal Reserve, following the widely expected decision to keep rates unchanged at last week’s meeting. “Central banks are still a bit concerned about inflation – a view we fully share,” he said, adding that it's "important for markets in this environment that central banks do not add more volatility."

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