Are Central Banks Heading in Different Directions?

"When you're testing to see how deep water is, never use two feet."
- Benjamin Franklin

As investors size up the new year, monetary policy remains a familiar theme. Right now it’s fairly accommodative worldwide. Despite recent increases in North America, interest rates hover near historic lows. Broad economic growth hasn’t yet translated into inflationary pressures. However, we believe the expectation for higher inflation will influence markets going forward. We also think central banks may begin going their separate ways in setting policy as growth and inflation expectations become more localized.

READ ARTICLE