Traveling new economic roads: How the pandemic may reshape monetary policy


Stefan Löwenthal

  • Senior Vice President, Chief Investment Officer — Global Multi Asset Team
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Jürgen Wurzer

  • Vice President, Deputy Head of Portfolio Management, Senior Investment Manager — Global Multi Asset Team
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As the coronavirus (COVID-19) delivered a seismic shock to capital markets, with a tremendous impact on daily lives, market participants wonder how effective policy steps have been, and what lies ahead. In this global outlook, “Traveling new economic roads: How the pandemic may reshape monetary policy frameworks,” the Macquarie Multi-Asset team discusses aspects such as:

  • Global policy makers still are serving as “guardians of the economy” and have managed to dampen uncertainty.
  • Their policy action reduced the likelihood of another imminent severe market setback, while the massive economic impact remains.
  • Going forward, synchronized fiscal and monetary policy looks increasingly likely and could lead to another round of asset price inflation.
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The views expressed represent the Manager's assessment of the market environment as of May 2020, and should not be considered a recommendation to buy, hold, or sell any security, and should not be relied on as research or investment advice. Views are subject to change without notice and may not reflect the Manager's views.


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