 "Goldman Sachs")
Rising US interest rates are probably just beginning to roil risk appetite around the world, according to economists at Goldman Sachs Group Inc.
Global investors may be underestimating the headwinds to financial assets posed by US rates, they said. While the real rate on three-month US. Treasury bills — or the nominal rate minus inflation (or inflation expectations) — remains negative, Goldman forecasts the measure will diverge from other real rates in the developed and developing world over the next year-and-a-half.
Decent economic data from emerging markets (EMs) helped mask the rise in real rates earlier this year,
Global investors may be underestimating the headwinds to financial assets posed by US rates, they said. While the real rate on three-month US. Treasury bills — or the nominal rate minus inflation (or inflation expectations) — remains negative, Goldman forecasts the measure will diverge from other real rates in the developed and developing world over the next year-and-a-half.
Decent economic data from emerging markets (EMs) helped mask the rise in real rates earlier this year,
