US inflation

US commercial banks outlook

US Inflation Spike Brings Tapering Back On Fed Agenda

Keith Wade (Schroeders) | Headline CPI inflation rose to 4.2% year-on-year in April the highest level since September 2008. Meanwhile the core measure, which strips out food and energy prices, rose to 3%, a level last seen in 2006. It is unlikely that the inflation figures will spook the Federal Reserve, although they will mean an upward revision to its forecasts. More importantly, when combined with strong growth in GDP, it will have to start to think about slowing its asset purchases.



A world with less inflation

Inflation: A Little Can Turn Out To Be A Lot

Just a couple of years ago, deflation was a concern for US economists. And, although it’s true that this threat has almost disappeared, rises in prices have shown themselves to be surprisingly elusive.

 



A period of stagflation waas seen in the 80's

Are We Going To Be Talking About Stagflation Once Again?

After US inflation beat estimates in January, it’s likely the market will end up putting even more emphasis on the possibility of seeing inflation rates higher-than-expected months ago, or even stagflation. And, unfortunately, this will continue to spark potential over-reactions which would give way to strong, quick movements.


Fed monetary policy

FED, ECB monetary policy: communication counts when doubts increase

The minutes released by the FED and the ECB last week shared concern about how to inform about their monetary stance. They fear unsettling the markets should investors wrongly interpret the messages conveyed to them.  When you lack a clear policy perspective, the best thing you can do is to manage communication in a fairly tight way.




US inflation

Inflation Has Gone AWOL

Not really. The Fed hid it and forgot where it put it! They has raised rates three more times since. Inflation hasn´t gone up, as the neofisherians would have us believe, but there´s been no recession either.