David Jane: Take a hard look at the data

Positive data v negative narrative

clock • 5 min read

Investors need to address any fears of rapid monetary tightening leading to a market correction, recession or even, according to some pundits, a meltdown by considering data not headlines, argues David Jane

As the long bull market continues, there is plenty of talk on why it is going to end - much of it surrounding the reduction of monetary stimulus. So what is the truth behind the fears of rapid tightening leading to a market correction, recession or even, according to some pundits, a meltdown? In terms of simple interest rate policy, the US equivalent of the Bank of England base rate remains at or below zero in real terms - hardly tight, in other words, and in fact still at levels that in the past would have been regarded as very loose. The shape of the curve - that is, the difference ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Why higher bond yields aren't causing a Mini-Budget meltdown

Why higher bond yields aren't causing a Mini-Budget meltdown

'One thing we know about Rachel Reeves is she will live or die by her fiscal rules'

Laith Khalaf
clock 07 October 2025 • 5 min read
City 'has lost sympathy with this Labour government' - George Osborne

City 'has lost sympathy with this Labour government' - George Osborne

Former chancellor defends the OBR

Michael Nelson
clock 01 October 2025 • 3 min read
Labour remains 'unequivocal in our commitment to economic responsibility' - Chancellor

Labour remains 'unequivocal in our commitment to economic responsibility' - Chancellor

Rachel Reeves was speaking at the Labour Party conference

Linus Uhlig
clock 29 September 2025 • 3 min read