Outside Brexit Britain,the view looks rosy and borrowing is being pushed to original highs. What could go improper? Almost everythingThere is a complacency in the air as we stumble into 2018. Global economic forecasts are coated with sugar. Stock markets support heading skywards and borrowing is at an all-time tall. Brexit may be a brick through the window of the UK’s economic outlook, but for the rest of the developed world, or the view is decidedly rosy.
Such is the exuberance among those with plenty of spare cash that there is a return of borrowing with the sole purpose of betting on stock market gains. To this end,investors are using any asset to hand – their house, their pension or their deposit savings to get a boost from the alpha funds that promise stellar returns. Bitcoin is another feature of this relaxed attitude to risk. Who needs safety nets when there is no prospect of a drop? It’s not hard to see why the picture looks so rosy and why it is likely to conclude with an homely denouement.Continue reading...
Source: theguardian.com