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Top Goldman Sachs analyst says the world is moving into a new super cycle

  • The world economy is moving into a “different” super cycle, Peter Oppenheimer, head of macro research in Europe at Goldman Sachs, told “Squawk Box Europe.”
  • Artificial intelligence and decarbonization are two of the key factors that could have a positive impact during this new cycle, he said.
  • Oppenheimer also pointed out that there are historical parallels to current developments that could hold lessons for the future.

The global economy is moving into a new “super cycle,” with artificial intelligence and decarbonization being driving factors, according to Peter Oppenheimer, head of macro research in Europe at Goldman Sachs.

“We are moving clearly into a different super cycle,” he told CNBC’s “Squawk Box Europe” on Monday.

Super cycles are commonly defined as lengthy periods of economic expansion, often accompanied by growing GDP, strong demand for goods leading to higher prices and high levels of employment.

The most recent significant super cycle that the world economy experienced began in the early 1980s, Oppenheimer said, discussing content from his newly launched book “Any Happy Returns.”

This was characterized by interest rates and inflation peaking, before a decadeslong period of falling capital costs, inflation and rates, as well as economic policies such as deregulation and privatization, he explained. Meanwhile, geopolitical risks eased and globalization grew stronger, Oppenheimer noted.

But not all of these factors are now set to continue as they were, he added.

“We’re not likely to see interest rates trending down as aggressively over the next decade or so, we’re seeing some pushback to globalization and, of course, we’re seeing increased geopolitical tensions as well.”


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