Markets should be cautious about over relying on the inertial path of inflation, as AQR Capital Management co-head of the macro strategies group Jordan Brooks warns a resurgence is a "real possibility”.
Speaking to Investment Week on the sidelines of Kepler's fifth Liquid Alternatives Summit this week, the principal of the $113bn hedge fund said a renewed inflation scenario driven by an energy price shock is a risk that is currently underplayed by investors. His comments follow concerns by the International Monetary Fund earlier this year that an escalating Middle East conflict could lead to higher oil prices and reverse the current trajectory of inflation. Brooks said the market volatility observed in August is not an "aberration" but rather a reflection of an "extremely elevated l...
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