Asset Management

Fund manager heavyweights fret over ‘worrying’ inflation threat

Investors expect the Fed to monitor inflation closely amid a stock market sell-off

US Federal Reserve officials have tried to allay concerns, suggesting the year-on-year rise in inflation is temporary. However, fund managers are adopting a more cautious approach
US Federal Reserve officials have tried to allay concerns, suggesting the year-on-year rise in inflation is temporary. However, fund managers are adopting a more cautious approach Photo: Getty Images

The prospect of rising inflation has spooked investors, with European stocks following a sell-off on Wall Street sparked by a 13-year-high rise in US inflation.

The FTSE 100 fell by more than 2% when markets opened on 13 May, while the Stoxx Europe 600 fell by 1.28% during early morning trading.

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