However, this always felt ambitious, and with the latest data showing US inflation edging up to 3.2 per cent over February, it would seem that further caution will be required among central banks over the course of the year.
As such, it is clear interest rates will continue to be a key factor when it comes to investment activity over the foreseeable future. With interest rates remaining at heightened or even restrictive levels, bonds will offer a far better yield than any time over recent years.
A huge bond rally to lower yields is unlikely unless the economic backdrop changes and we start to see a markedly weaker inflationary backdrop and labour market.
If economic growth is strong, as has been the case in the US, risk assets are somewhat protected and can do reasonably well.
However, if growth begins to significantly roll over, equity markets will certainly be more at risk, which should see bonds begin to perform somewhat better as yields begin to move lower to reflect potential policy adjustments.
Markets can be unpredictable, and perhaps there will eventually come a time over the coming decade when rate decisions hold less significance than they have over the past few years.
However, for the time being all eyes remain on central banks, and the actions, and even words, of those institutions are likely to be the biggest determinant of portfolio returns.
Ed Hutchings is head of rates at Aviva Investors
