The Fed Cannot Bury Something That Never Existed
What really shocked the markets was not the Fed’s decision to maintain zero interest rates for a few more months, but the statement that accompanied it.
inflation
The Japan Story: A Lesson For Central Bankers Everywhere
It is a simple story of failure, but one that fits the facts. It´s also based on a simple premise: An inflation obsession that took hold in 1974.
The imminent inflation increase
London | UBS | At the risk of making an obvious point, the fall in crude oil prices is not all there is to the impact of oil on consumer price inflation.
Spanish CPI goes back to negative numbers
Cheaper oil and electricity pushed prices down by 0.3% in August compared to the previous month. In year-on-year terms, prices dropped by 5 basis points or 0.4%.
Disinflation-felt locally, spread globally
UBS | Monetary policy remains stimulative globally, and labor markets are tightening. Yet, global inflation is low.
Eurozone GDP up by 0. 3 % with Greece growing by 0.8%
Euro area GDP growth and inflation remain positive but near to zero in the second quarter.
Is China knocking on deflation’s door?
BEIJING | June 16, 2015 | By Yu Hairong and Wang Liwei via Caixin | Economists are divided over whether deflation in China is endangering the economy or whether it is even a problem.
ECB seeks “full QE implementation”
MADRID | June 3, 2015 | So far, monetary policy stimulus is working as planned, ECB’s president Mario Draghi insisted on Wednesday, and the bond buying program needs to reach full implementation until September 2016. The central lender rules out any earlier taper and will keep rates on hold.
US inflation fall will offset poor EU data
The Corner | May 22, 2015 | Three main market drivers to watch today: German IFO confidence index, which is expected to disappoint following the ZEW steps; a lower US inflation, far from the Fed’s 2% target –which would serve as a catalyst so that the bags are listed the lack of arguments to raise interest rates this year. Besides, Mario Draghi could address the unemploment issue.
Does price stability entail financial stability?
PARIS | May 5, 2015 | By Franceso Saraceno and Paul Hubert | We subscribe to Krugman’s view that financial stability should be targeted by combining macro- and micro-prudential policies, and that inflation targeting is largely insufficient.