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Prepare to ring in a year of hope tempered by two risks

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Inflation is the first risk likely to shake up 2021. Globally, opinion is divided in the absence of household consumption growth, given the pandemic’s impact on jobs and incomes, but is equally wary of how the continuing accommodative policies of central banks will play out.

A 15 December note from global investment management firm Pimco states: “Our expectation is that inflation globally will remain subdued in the near term as the effects of the pandemic—weaker consumer demand, lower energy prices, and higher unemployment—keep the price of goods in check.

However, large fiscal injections, climbing government debt, and accommodative central banks could lead to higher inflation in a post-covid world.

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COVID-19
United States
United States
Cases: 46 252 513
Deaths: 750 423
Recovered: 0
India
India
Cases: 34 321 025
Deaths: 459 652
Recovered: 0
Brazil
Brazil
Cases: 21 835 785
Deaths: 608 235
Recovered: 0
United Kingdom
United Kingdom
Cases: 9 215 683
Deaths: 141 607
Recovered: 0
Russia
Russia
Cases: 8 494 589
Deaths: 237 619
Recovered: 0
Detail statistic
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