Bloomberg Surveillance · Monday, July 13, 2026
According to Jeff, a BNY Mellon analyst, disinflation hopes are still influencing market sentiment, but growth, earnings, and policy risks are becoming harder to ignore. He believes that current economic conditions necessitate healthy disinflation and that no major shift higher in inflation expectations should alter this outlook.
“Disinflation hopes are still carrying sentiment, growth, earnings and policy risks are harder to ignore.”
“Full stop, everything will be fine as long as there's no major shift higher in inflation and inflation expectations. For now, that remains our base case and Frank don't think anything changes that we need healthy disinflation at this point.”