How concerned should investors be about post-Brexit inflation?

It remains difficult to interpret pre-and post-Brexit trends but much of the latest data points to a resilient economy, with high employment and signs the housing market and consumer spending have weathered the initial storms.

The Prime Minister's indication of a pullback from austerity targets, the cut to interest rates and clear signals the UK authorities remain highly supportive of markets and the economy, provide reasons for cautious optimism - in stark contrast to the deep gloom that weighed on sentiment in the immediate aftermath of the Brexit vote, particularly in the financial press. Globally, too, the economic picture appears to be more positive, in the short term at least. Brexit has provided useful cover for central banks and governments to continue or increase stimulus measures, most notably in Jap...