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Jim O'Neill: Two decades of deflation may be coming to an end with Trump

Jim O'Neill, the former chairman of Goldman Sachs Asset Management who coined the term "BRIC," shared his views on what could be ahead for the global economy in the wake of the surprise presidential victory by Donald Trump.

"The underlying common theme on Brexit and aspects of this in the U.S. is about doing more for those most disadvantaged, which might mean a whole fresh push about stronger wage gains," said O'Neill.

"What we are really getting here is a coincidence of policy issues that are bringing around the end of this big deflationary push of the past two decades. And if that's the case, of course, bond yields have got plenty of reasons to start going up again, because the whole drop has been about this remarkable decline in inflation that has been going on since the start of the late '70s during the Volcker days," he added.

During Wednesday's trading session, the yield on the 10-year Treasury topped the 2 percent mark, its highest level since January.

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