One of the potential rude awakenings that we advised investors to prepare for in our recent Secular Outlook is a surprising surge of productivity growth over the next several years.

We may be witnessing an important turning point: Ten years after the financial crisis, the global economy and financial markets look set to enter a new era of potentially radical change.

Diversification and flexibility are key ahead of a potentially long period of volatility.

Could this be the beginning of the end? This is the question we ask in our latest Cyclical Outlook, which summarizes the conclusions from PIMCO’s quarterly Cyclical Forum held earlier this month.

Investors in Europe are more optimistic than they have been in years, but there is growing concern that U.S. dollar weakness could make the euro too strong.

The conclusion from PIMCO’s latest Cyclical Forum is that 2017–2018 could well mark the peak for economic growth in this cycle and that investors should start preparing for several key risks that lie ahead in 2018 and beyond.

When the macroeconomic environment is as good as it gets and valuations are tight, it is time to emphasize caution, capital preservation and diversified sources of carry away from the crowded trades.

With inflation continuing to underwhelm, odds are growing that come September, the FOMC will throw in the towel on an additional rate hike this year.

While the U.S. administration and the Republican majority in Congress are yet to deliver on most of their policy goals, they have succeeded in making the dollar more competitive.

The Fed’s “opportunistic tightening” campaign risks cementing inflation expectations below the target.

When we look at the state of industry in 2017 from the bottom up, we see a global economy with underappreciated potential.