Saxo’s chief economist warns ASX investors of “galloping inflationary risks”

Steen Jakobsen, chief economist at online trading and investment specialist Saxo Bank, sounded a warning bell for ASX investors this afternoon.

Writing in Saxo’s Q2 2021 Quarterly Outlook for global share markets (released late this afternoon), Jakobsen said:

[T]he gargantuan current effort by policymakers to simultaneously solve the three major generational challenges: inequality, the green transformation and infrastructure, will come at a high price in the shape of inflation, a higher marginal cost of capital, and the realisation that they need to be prioritised separately.

‘Violent switch’ means bye-bye balanced…