Richard Beales joined Breakingviews in 2007 from the Financial Times, where he was U.S. markets editor and a Lex columnist. Prior to the FT, he spent more than 10 years as an investment banker at Schroders and Citigroup, based largely in Hong Kong and working on project finance, mergers and acquisitions. He has also lived in Sydney, Australia, and began his working life in London at Mars & Co, a management consultancy. Richard holds a masters in business journalism from New York University and a degree in biochemistry from St John’s College, Cambridge. Follow Richard on Twitter @richardbeales1
- Tel: +1 646 223 6086
- E-mail: email@example.com
Three rounds of bond purchases worth nearly $4 trln over six years just ended. Critics’ feared inflation hasn’t arrived. Yet despite the stimulus, U.S. GDP growth has been stuck at just over 2 pct. The only clear effect may have been to boost asset prices, particularly stocks.
The iPhone maker’s $615 bln market capitalization is nearing its own record of two years ago, which eclipsed Microsoft’s peak valuation before the dot-com bust in 2000. This Apple share-price runup may not go far enough. But there’s no bubble fantasy math involved if it does.
One regional Fed boss worries CPI is below the institution’s 2 pct target. Yet EU-like deflation fears don’t travel. American prices are up an average of almost 2 pct a year since the crisis. And measures of future inflation expectations are still close to the target, too.
- Spreadsheet bungles alive and well in high finance
- Rampant market fear clarifies global divide
- It's easy to engineer $60 bln railroad merger math
- Facebook and Google catch glimpse of split future
- Marissa Mayer stuck with worthless Yahoo rump
- Review: VC bigwigs reveal Valley's contradictions
- Hedge-fund-free – the latest Californian fad?