Confidence among the world’s largest companies has reached a five-year high, according to research from investment management firm Fidelity International.
Fidelity’s 2018 Analyst Survey, which takes in the views of its 143 in-house investment analysts, found corporate confidence for the year ahead has risen steadily since 2016.
Despite a recent pickup in volatility in markets, overall the survey gives little reason to expect an imminent end to what it calls today’s “near-perfect conditions”.
Fidelity’s analysts claim that inflation is not a major cause for concern and, while they report moderate increases in input cost and wage inflation, they expect output price inflation to remain at, or below, consumer price inflation.
Michael Sayers, Fidelity’s director of research for equities, said: “Executives see benign conditions ahead, and are planning accordingly. More than in previous years, they have faith in growing demand, while maintaining their focus on cost-cutting.”
©2018 funds europe
