With markets experiencing a rout that seems out of all proportion to the economic data — do we really expect a global recession on the back of a 3 per cent devaluation of the Chinese currency? — investors are hoping that policymakers will step in and restore some calm.
Unfortunately, it is hard to see how, exactly. In most developed economies, fiscal policy remains relatively tight (the eurozone and even the US) or indeed needs to get tighter (Japan), while interest rates are still at rock bottom levels. That leaves little scope for providing much global stimulus.
Worse, expectations of rising US rates are preventing many emerging markets from adopting desperately needed counter-cyclical monetary policy.
您已閱讀18%（711字），剩余82%（3199字）包含更多重要信息，訂閱以繼續(xù)探索完整內(nèi)容，并享受更多專屬服務(wù)。