With fewer durable good making up GDP and workers no longer employed in traditional jobs, worries about coming inflation are probably over blown, said Macquarie Capital’s Head of Asian Strategy and Global Strategy Co-ordinator Viktor Shvets.
Shvets spoke to Kitco on Friday from Hong Kong.
“Today, 60% of private sector GDP in the U.S. is in intangibles,” said Shvets. “[You] don’t have the same capacity constraints.” Shvet said the speed up in digitization and automation is driving down the cost of goods and services.