Vimal Gor says the US Federal Reserve has completed a 180-degree turn.
by Vesna Poljak
The Sydney Morning Herald
The Bank of Japan and the European Central Bank are printing billions in a “useless” attempt at stimulating demand as a “crisis of confidence” erupts over central banks and their diminishing influence.
And for the same reason, the Reserve Bank of Australia may find itself powerless in trying to defeat low inflation by cutting interest rates to fresh record lows.
That is the view of Vimal Gor, who is head of income and fixed interest at BT Investment Management.
Mr Gor is the latest expert to question the wisdom of RBA rate cuts.