Inflation undershoot takes pressure off Carney

The Office for National Statistics has reported a drop in inflation to 0.9% in October, with many expecting the figure to increase from September’s inflationary pressures generated by the falling pound and rising oil price. Tommaso Mancuso, head of multi asset at Hermes talks to Portfolio Adviser, claiming that the sharp reaction of government bonds to Trump’s presidency is a signal of how sensitive global assets can be to shifts in inflation expectations and therefore poses as a reminder to the importance of inflation protection.