Sentences with phrase «change in inflation expectation»

Not exact matches

As far back as 2002, while vice minister, Kuroda used an opinion column in the Financial Times, co-written with his deputy at the finance ministry, to call for «aggressive monetary policy» from the central bank, including an inflation target, aimed at «drastically changing price expectations.»

Many in the central bank, including outgoing Governor Masaaki Shirakawa, are sceptical that monetary policy can impact public sentiment, so they do not buy into the idea that a change in policy would raise inflation expectations.

To a large extent, this had to be done the hard way: price expectations are largely «backwards looking», so can be changed only by the economy operating below capacity, with the reduction in inflation that this causes feeding through (with a lag) to lower price expectations.

Inflation is also influenced by the effect that changes in interest rates have on imported goods prices, via the exchange rate, and through their effect on inflation expectations more generally in theInflation is also influenced by the effect that changes in interest rates have on imported goods prices, via the exchange rate, and through their effect on inflation expectations more generally in theinflation expectations more generally in the economy.

The assessment depends importantly on the assumption that there will be no significant second - round wage and price effects arising from the tax changes and that the tax - related increase in the price level does not generate an upward shift in ongoing inflation expectations.

Earnings / Macro Pulse: But if you look at a couple of key indicators we track: the «nominal surprise index» (this tracks a combination of the Citi US inflation surprise index and the economic surprise index - giving a view on how the inflation and general economic data is turning out vs expectations), and the «earnings revisions indicator» (this combines earnings revisions ratio and the rate of change in forward earnings).

This change in relative wages and the relatively modest adjustment in overall wages have been helped by the combination of well - anchored inflation expectations and a more flexible labour market, particularly in comparison to earlier terms of trade booms.

The Bank's quarterly survey of financial market economists suggests that near - term inflation expectations have changed little over recent months, with the median forecast for inflation over the year to June 2004 at 2.2 per cent in November, compared with 2.3 per cent in August.

-- «The year - on - year rate of change in the CPI (all items less fresh food) is likely to continue on an uptrend and increase toward 2.0 %, due mainly to an improvement in the output gap and a rise in medium - to - long term inflation expectations.»

The bond markets are extremely active, with interest rates constantly changing in response to a number of factors including changes in the supply and demand of credit, Federal Reserve policy, fiscal policy, exchange rates, economic conditions, market psychology and, above all, changes in expectations about inflation.

Cunningham calculates that an uptick in long - term interest rates of half a percentage point (50 basis points) with no change to inflation — or inflation expectations — would cause the price of the 2036 Government of Canada RRB described above to drop in value by about 10 %.

Interest rates change in response to a number of factors — changes in supply and demand for credit, fiscal policy, exchange rates, economic conditions, and crucial for the bond market, changes in expectations of inflation.

Stock investors must be able to share that belief and that forecast, because a change in longer - term inflation expectations - even from a low base - would increase stock market risks importantly.

Our expectation is that gradually higher levels of inflation breakevens will result from firmer inflation data in the coming months, while a move higher in real rates will be virtuously tied to cyclical changes in real growth.

With inflation expectations well anchored, a one - time increase in energy prices should not lead to a permanent increase in inflation but only to a change in relative prices.»

Market - based measures of inflation compensation declined; most survey - based measures of longer - term inflation expectations are little changed, on balance, in recent months.

Market - based measures of inflation compensation remain low; most survey - based measures of longer - term inflation expectations are little changed, on balance, in recent months.

Market - based measures of inflation compensation have moved up but remain low; most survey - based measures of longer - term inflation expectations are little changed, on balance, in recent months.

Market - based measures of inflation compensation declined further; survey - based measures of longer - term inflation expectations are little changed, on balance, in recent months.

Gold and silver mining companies may also be adversely affected by changing inflation expectations, the availability of alternatives, disruptions in the supply chain, rising production costs, rising regulatory compliance costs, increased environmental regulations, and changes in industrial, government and global consumer demand.

Interest rates change in response to a number of things including revised expectations about inflation, and such changes in the prevailing level of interest rates affects the value of all outstanding bonds.

Market - based measures of inflation compensation have moved up considerably but still are low; most survey - based measures of longer - term inflation expectations are little changed, on balance, in recent months.

Changes in expectations can move prices wildly even with little change in the economic variables that should drive asset prices, such as inflation or company earnings.