{"id":51819,"date":"2006-06-21T14:51:53","date_gmt":"2006-06-21T04:51:53","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2006\/06\/21\/global-inflation-forecasts-up-interest-rates-to-follow\/"},"modified":"2006-06-21T14:51:53","modified_gmt":"2006-06-21T04:51:53","slug":"global-inflation-forecasts-up-interest-rates-to-follow","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2006\/06\/21\/global-inflation-forecasts-up-interest-rates-to-follow\/","title":{"rendered":"Global Inflation Forecasts Up, Interest Rates To Follow"},"content":{"rendered":"<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Consensus forecasts for inflation have been trending higher, Commonwealth Bank economist Nicola Chadwick observes, and with central banks expressing concerns about inflation risks monetary policy tightening remains very much on the cards. <\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Strong domestic growth and the risk of high commodity price pass-through pose upside risk to inflation, the economist says.<\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">In the US Consumer Price Index (CPI) inflation is now expected to be 3.4% in 2006 and 2.5% in 2007, which is making the Fed uncomfortable. While in the Eurozone, CPI is forecast at 2.2% in 2006 and 2.1% in 2007, extending the 16-month run above the 2% target.<\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">Japanese CPI is now forecast to rise by 0.5% in 2006, up from the previous expectation of 0.4% with the prolonged period of deflation now appearing to be behind it, Chadwick adds.<\/font><\/p>\n<p \/>\n<p class=\"MsoNormal\"><font face=\"Calibri\"><\/font><\/p>\n<p class=\"MsoNormal\"><font face=\"Calibri\">As for the Chinese economy, GDP growth is forecast at 9.6% this year, with fixed asset investment and money supply growth forecasts being lifted on an almost monthly basis, Commonwealth Bank says, &quot;reflecting the heated nature of the economy.&quot;<\/font><\/p>\n<\/p>\n<p>By Terry Hughes<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Consensus forecasts for global inflation are trending higher. Further monetary tightening seems but logical, CommBank says.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/51819"}],"collection":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/comments?post=51819"}],"version-history":[{"count":0,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/51819\/revisions"}],"wp:attachment":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/media?parent=51819"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/categories?post=51819"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/tags?post=51819"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}