AXA's Tinker Says in Asia, it's All About China

The transcript discusses the balance between growth and inflation, highlighting the Fed's current stance and its impact on investors, particularly in Asia. It emphasizes that while the Fed's actions are significant, the focus for Asian investors is more on China's economic activities. The discussion also covers the implications of the Fed's unconventional monetary policy and the potential effects of its withdrawal. The transcript concludes with an analysis of liquidity issues and the Fed's cautious approach to normalizing monetary policy, considering the lack of real wage growth and economic activity in Western economies.

What is the primary concern for investors in Asia according to the discussion?

• Developments in China

• The Fed's interest rate hikes

• European market trends

• US employment rates

What aspect of the Fed's policy is considered crucial for financial markets?

• The strength of the US dollar

• The level of US employment

• The shape of the US yield curve

• The number of interest rate hikes

What is the main issue with the liquidity in the economy?

• Excessive government spending

• Cash not moving around

• High velocity of money circulation

• Lack of cash in the private sector

Why has the Fed been hesitant to raise interest rates?

• Due to high inflation

• Because of insufficient economic activity

• To control the housing market

• To support the stock market

What is the Fed's approach towards real wage growth?

• To suppress it to control inflation

• To encourage it by maintaining low rates

• To ignore it in favor of employment growth

• To prioritize it over all other factors