Price growth just won’t cool in a group of eight countries
Save time by listening to our audio articles as you multitaskThe latest data offer little reason for optimism. Hikelandia’s inflation problems are still worsening. “Core” inflation excludes volatile components such as energy and food, and is thus a better measure of underlying pressure. In December this hit a new high of nearly 10% year on year . Higher borrowing costs are not yet crushing Hikelandia’s inflation, but they are crushing its economy.
In some parts of Hikelandia central bankers are having more luck. Core inflation in Brazil is now clearly falling. There are signs of a turnaround in South Korea. Yet elsewhere there is less progress. In Chile average wages are growing by about 10% a year, far too fast when productivity growth remains weak. In Hungary prices are surging. Annual core inflation rose from 19% in August to 25% in December.
When will prices in Hikelandia return to earth? Recent data suggest that it is unlikely inflation will move far into double figures. Yet the longer high inflation lasts, the more Hikelandia’s citizens will come to expect it. Just ask Hungarians, many of whom are obsessing about the cost of living. They now search on Google for “inflation” as much as they do for “Viktor Orban”.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
‘More Russian agents than police’: Bellingcat sleuth Christo Grozev forced to flee ViennaThe director of open-source investigation team Bellingcat has been forced to flee his home of 20 years in Vienna, Austria, due to the growing threat from Russian intelligence services
Read more »
Beer maker Super Bock says 'cyber' attack 'disrupting' opsPortugal's biggest exporter of beer warns of retrictions to supply chain
Read more »
Super Bowl LVII will screen in 4K and Dolby Vision, but there's a catchSuper Bowl LVII will be transmitted in 4K and Dolby Vision, but only to Comcast Xfinity X1 subscribers
Read more »
Man, 91, charged with murdering his 92-year-old wife in Weston-super-MareJohn Woodbridge is accused of killing his wife Anne who was found dead at a property in Weston-super-Mare.
Read more »
Earfun's new earbuds bring cutting-edge features for a third the price of AirPods ProNext-gen Bluetooth, aptX Adaptive and active noise cancellation for under $80? Earfun is just spoiling us now…
Read more »
Morgan Stanley: Expect More EV Price Cuts Ahead | OilPrice.comMorgan Stanley says it expects more price cuts in EVs after Ford followed in the footsteps of Tesla and cut the price of its EV competitor, the Mach E
Read more »