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Walking on a Tightrope
February 4, 2014
The first month of the year has confirmed the main scenario presented in our latest Outlook: developed countries’ economies are gathering momentum and Central Banks retain accommodative monetary policies, extending support for risky assets. However, there is no shortage of reasons for being careful going forward. One of the risks we are currently considering is the change in investors’ sentiment on the effectiveness of monetary policies. The second main risk to our base scenario is deflation.