Newton's Clay: We may see more QE from the Fed

Anna Fedorova
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Nick Clay, alternate manager on the Newton Global Higher Income fund, has said the Federal Reserve may yet take further monetary easing measures instead of the expected tightening.

Clay, who co-manages the £4.5bn fund with James Harries (pictured), believes the US economy is failing to respond to the economic stimulus that has been thrown at it. Despite an increasingly hawkish stance from the Federal Reserve and market expectations of a rate hike in June, the Newton managers believe the current status quo is "unsustainable". "Despite everything we have been throwing at this experiment, many developed nations, particularly the US, where it is meant to be working, are failing to respond to the economic stimulus," he said. "Therefore, unlike the consensus view, ...

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