Asset Managers Cite Inflation as the Number One Market Risk, Displacing COVID-19 April 4, 2021
Inflation is top of mind right now for many consumers, businesses and investors. Responding to a recent Bank of America survey, asset managers around the world agreed that inflation is the number one market risk, displacing COVID-19 for the first time since February 2020.
Another survey conducted this month found that over three quarters of Americans were either “very” or “somewhat” concerned about inflation. Perhaps not surprisingly, younger Americans who have not yet reached their peak earning years were most worried.
And the trend is only going to accelerate as social distancing is relaxed and the economy steadily returns to “normal.” Last week, the Department of Labor reported that initial jobless claims fell to their lowest level in a year. People are starting to travel again. Last Sunday, March 21, more than 1.5 million people boarded commercial flights, the most