In the first part of our series of articles assessing the outlook for next year, Keith Wade discusses whether the Goldilocks combination of strong growth and low inflation can continue in 2018.
The Chancellor of the Exchequer delivers giveaways to key policy areas despite worsening economic and fiscal outlook.
In this month's infographic we look at the political risks simmering in Europe and the potential issues with global growth without wage inflation.
Russian growth slowed more than the market expected in the third quarter, supporting the argument for further rate cuts by the central bank.
Though many of Europe’s major political obstacles have been overcome, events in Spain highlight that political risk continues to simmer under the surface. These risks are contained for now, helped by quantitative easing which is set to continue into 2018.
Despite the strengthening of global activity, inflation remains quiescent. This is creating consternation among policymakers whose models would have predicted a pick-up in wage and price pressure.