'Financial markets are not fully factoring in the risk of renewed lockdown'

We expect both core, but particularly headline inflation, to rise during 2021, yet this should be a temporary move only, say Rabobank economists

JAN LAMBREGTS, managing director and global head of financial markets research, Rabobank International, WOUTER VAN EIJKELENBURG, their economist for Australia, New Zealand, India & ASEAN and RYAN FITZMAURICE, their energy strategist share their views on the road ahead for global financial markets with Puneet Wadhwa in an interview. Edited excerpts:

Global financial markets have been roiled by the recent turn of events in the bond markets. Is the selling overdone? By when do you see stability returning?

JAN: Equity markets broadly speaking still trade close to historic highs, so from that perspective there’s been little sustained selling, rather the buying