Sentences with phrase «as high inflation rates»

The black market for currencies is increasingly becoming prevalent in nations marked by certain adverse economic factors such as high inflation rates and unrealistically high exchange rates.

The black market for currencies is increasingly becoming prevalent in nations marked by certain adverse economic factors such as high inflation rates and unrealistically high exchange rates.

Not exact matches

The change is key as Fed officials consider 2 percent to be a healthy level of inflation and a key for continuing to push rates higher.

Investors often use gold as a hedge against inflation, but higher interest rates dent the appeal of gold, which earns nothing and costs money to store and insure.

«I can at most venture a personal judgment, based on some examination of the historical evidence, that the initial effects [on employment] of a higher and unanticipated rate of inflation last for something like two to five years; that this initial effect then begins to be reversed; and that a full adjustment to the new rate of inflation takes about as long for employment as for interest rates, say, a couple of decades.»

As they won wage increases higher than the current rate of inflation they would, for a short time, gain real wage increases.

China's consumer inflation rate grew at its fastest pace in six months in October as food prices rose, while producer prices accelerated to a near - five year high, exceeding expectations.

That's bad compared with the U.S. and the European Union, where the rates of inflation are 2.7 percent and 3.1 percent, respectively, but economists not affiliated with the government say the real figure is at least twice as high.

According to a 2005 study of criminal patterns by Statistics Canada, for example, inflation rates influence the levels of financially motivated crimes such as break - ins and car thefts, while increases in unemployment correlate with higher homicide rates.

Its rate hikes can be used as a tool to help prevent inflation from climbing too high.

Volatility has come back with a vengeance recently as worries of rising inflation sent interest rates higher, rattling investors.

However, the softness in economic data, particularly as it relates to inflation, coupled with market expectations that the first Fed rate hike won't happen until well into 2016 have inspired at least a momentary burst in high - yield confidence.

But Wall Street grew jittery this week as concerns about rising inflation sent interest rates higher.

Wall Street grew jittery this week as concerns about rising inflation sent interest rates higher.

While New Zealand's official cash rate is already at a record - low 2 % after the latest cut in August, it is still the highest in the developed world — a major draw for yield - hungry investors and a complication for the central bank as a higher kiwi further dampens imported - led inflation.

«As Draghi has alluded to, a high currency will help keep inflation down and that means the ECB will be able to keep interest rates down,» said Bennett.

Yet while the Fed has eased policy to lower joblessness and raise inflation in the wake of the 2007 - 2009 recession, central banks such as the BoE have also launched accommodative bond - buying programs despite higher - than - desired inflation rates.

Economists doubt the jobless rate can fall that low again without touching off inflation, as employers are forced to offer higher pay to attract workers from a dwindling supply of unemployed.

«Interest rates are not low enough,» Minneapolis Federal Reserve President Narayana Kocherlakota said at a Town Hall meeting in Montana, citing subdued inflation and «unacceptably high» unemployment as evidence.

Those concerns triggered a bout of financial market turmoil, as investors feared higher interest rates were coming to keep inflation in check.

And now that our careers are going, we're looking at maxing out two traditional 401Ks and two Roth IRAs this year, and we see the Roth IRA portion as a small hedge against rising future tax rates (or what I think is a bit more likely to happen — tax brackets that don't keep pace with inflation, so keep sucking in more and more people to higher brackets).

Real interest rates, which subtract inflation from the nominal rate to show the true cost of borrowing, soared as high as 8 % in the aftermath, as demand for goods and services evaporated and prices tumbled.

Long - dated Treasury yields early Thursday trade at the highest level in nearly a month, but shorter maturities saw a slight pullback in rates, as inflation expectations rose

We anticipate higher interest rates across the yield curve as North American central banks normalise monetary policy amid slowly returning inflation.

The stock market opened way down, continuing last Friday's selloff, though it has climbed back since the open — implying the return of volatility — as skittish investors continue to fear the sequence I describe in this AM's WaPo: tight labor market, wage pressures, higher interest rates, inflation, lower profit margins.

As a result, we should have grown much faster than the 2 1/2 percent pace evident over the past couple of years and seen an inflation rate much higher than what we experienced.

As usual, investors then became too excited and bid inflation expectations too high, along with assets that benefit from higher growth and interest rates — i.e., banks, small - cap stocks, energy and industrials.

It is also possible that a period of very low interest rates will eventually lead to higher inflation for land and construction work, as is normally required to bring forth more supply of a particular good or service.

Now I read, again, how inflation is induced by high oil prices and I have to wonder, what happens as oil becomes rare, what will the Fed do when hiking rates does not improve the purchasing power of the dollar?

The implementation of monetary policy in Australia is market - based, with a high degree of transparency in both the operational objective (expressed in terms of the cash rate target) and the ultimate objective (expressed as an inflation target).

Recently, there has been some discussion, prompted by senior staff at the International Monetary Fund (IMF), that central banks might aim for high inflation — say 4 per cent — as a way of giving them more scope to reduce official interest rates in future downturns.

Food inflation could force the overall inflation rate to much higher levels as we enter a new decade in less than two years.

Precious and Industrial Metals Inflation concerns, geopolitical tensions and interest - rate levels, especially real yields, contributed to a 1.7 % rise in the spot price of gold (to US$ 1,325 per troy ounce), as did swings in the US dollar.1 Gold prices traded within the US$ 1,305 — 1,360 range throughout the period, reached 18 - month highs in March and capped their third straight quarterly gain, a feat not seen since 2011.1 Haven demand was a key support as exchange - traded gold holdings of 2,269 metric tons (mt) neared a five - year high.1 The Fed is widely expected to boost borrowing costs, and investors have been carefully watching the central bank's statements to see whether it targets more rate increases in 2018 than previously projected.

In other words, the median asking rent is $ 184 higher today than it would be if rental rates had risen only as fast as inflation over the past two decades.

It's just that with rates so low now there's not as much of a cushion if inflation picks up in the future, so volatilty will likely be higher than normal in bonds.

«The S&P 500's 25th new all - time high serves as a confirmation of investor confidence that the economy and corporate earnings will continue to improve, while inflation and interest rates remain subdued,» Stovall said.

As the Fed tapers, many observers worry about the effect on the stock market, while others are worried about the risk of inflation or deflation and everybody is worried about the effect of higher interest rates on economic growth and for the bond market.

Dollar claws back ground after Beige Book; Canadian dollar sells off after BOC decision Bank of Canada leaves interest rates unchangedThe U.S. dollar edges slightly higher against its main rivals on Wednesday as the British pound falls from a new post-Brexit high on disappointing inflation data, and the Canadian dollar slips as the Bank of Canada left rates unchanged.

He focuses on inflation as year - over-year change in the U.S. Consumer Price Index for all urban consumers and all items, but considers also inflation rates for medical care and higher education.

Policy rates were also lowered by 300 basis points in Turkey as inflation in that country continues to decline from high levels.

A further complication I struggle with is that high inflation in the past has met with aggressive interest rate rises as the Central Bank realises it is badly behind the curve.

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weaknesAs usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weaknesas measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weaknesas measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

They obviously view the recent cyclical upturn as being durable and the inflation data as pointing to the need for higher rates.

This was largely a function of the coincidence of high real interest rates and high asset price inflation over much of the period — more so, perhaps, than the exercise of exceptional investment skills as such.

As long as we see continued economic growth and inflation at current levels or higher, the current path of interest rate increases should continuAs long as we see continued economic growth and inflation at current levels or higher, the current path of interest rate increases should continuas we see continued economic growth and inflation at current levels or higher, the current path of interest rate increases should continue.

As Chart 2 shows, policy rates in Canada have on average been only 0.25 % higher than the US (using quarterly observations) since the introduction of inflation targeting from the Bank of Canada in 1992.

As a general rule, countries attempt to keep inflation fixed at a rate of 2 percent as moderate levels of inflation are acceptable, with high levels of deflation leading to economic stagnatioAs a general rule, countries attempt to keep inflation fixed at a rate of 2 percent as moderate levels of inflation are acceptable, with high levels of deflation leading to economic stagnatioas moderate levels of inflation are acceptable, with high levels of deflation leading to economic stagnation.

Over time, as the US Dollar continues to depreciate, it will bring higher inflation, lower real growth rates and a reduced standard of living for most American wage earners.

It's very artificial to have very very low inflation rates and I fear prices become terribly distorted — triggering a search for higher yielding shares — all sought as you can not get returns on [low] interest rates.

Firstly, lower real rates could imply higher inflationary expectations in the future therefore gold is bought as a hedge against this possible inflation.