The pros at Deutsche Bank just released a handy map of monetary policy around the world in their “House View” for 2016.
Right now, the market expects two rate hikes from the Federal Reserve this year, less than the Fed’s telegraphed plans for four.
Regardless of the pace, the consensus is that US interest rates should continue to head higher and the divergence in policy that’s singled out the Fed among its peers should continue.
Going forward, Deutsche Bank sees more central banks raising interest rates in response to this rising inflation the Fed anticipates, even despite the continued decline in oil prices.
Here’s Deutsche Bank’s map with a brief overview of what’s influencing monetary policy around the world.