Sentences with word «deflationary»

"Deflationary" refers to a decrease in the general level of prices for goods and services in an economy over time. It means that the value of money increases, allowing you to buy more with the same amount of money. Full definition
In line with the improvement in economic conditions there has been some easing in deflationary pressures.
For example, fixed - income securities, defensive stocks and blue - chip companies paying dividends can afford protection in deflationary environments.
In deflationary environments, as the dollar becomes more valuable and the prices of assets collapse, investors can be slaughtered.
All are struggling due to low oil prices — some directly because of lower revenues, and others because of deflationary pressure.
But economists worry that the commodity mess reflects a weakening global economy, lowering the value of trade worldwide and perhaps even pushing some countries into the same kind of deflationary spiral that has hampered the Japanese economy for decades.
It has been over two decades since the popping of Japan's economic bubble and the country is still actively battling with deflationary forces that are so powerful that near - zero interest rates (zero - interest rate policy or ZIRP), repeated bouts of quantitative easing (some call it «money printing») and constant Yen - weakening currency interventions have barely made a dent.
Proponents of Bitcoin claim that it is a «deflationary currency
By downplaying the euro's strength, they suggested any potential deflationary effects caused by the rise in the single currency are likely to be limited, barring an outsized further appreciation.
They are an excellent diversifier of risk and one of the best asset classes to own in deflationary periods.
But perhaps what's more is the controlled deflationary nature of cryptocurrencies like Bitcoin — their value will rise over time and then safely level off in a fashion controlled by the very protocol that underpins them.
However, it will likely not be as deflationary as Bitcoin.
Personally I am avoiding all financial stocks because of deflationary trends that currently plague our economy.
There certainly is no need for deflationary austerity to support the value of government money, bonds and other debt.
One of the most worrisome areas is Europe, which has long struggled with chronic low growth and technically crossed into deflationary territory with a negative inflation reading for December.
But the harms from deflationary monetary policy mostly occur when wages, rents, mortgages, and other long - term financial arrangements are based on a currency such as the dollar.
First they will slowly remove emergency credit facilities, starting with those of least interest, which were aggressively used to curb the debt deflationary crisis on our banking system.
This time around bonds are pricing in an extended period of deflationary depression.
We do not see deflationary conditions in the United States; in fact, we see more risks of inflation moving higher than lower.
The second fallacy claimed by Soros - that China's slowdown will worsen global deflationary pressures - is also groundless.
This has now been negative since May, portraying a pace of economic activity that is well below potential and therefore continues to be consistent with both (a) a continuing ultimately deflationary economic Supercycle Bear Market Period, or Winter, and (b) our working model for after - shock, double double - dip business cycle contractions over the next four years.
True, during deflationary environment, debts take a massive toll on consumers.
But increasingly, economists and other analysts are expressing concern that the United States could be edging closer to a different problem — the kind of deflationary trap that cost Japan more than a decade of growth and economic progress.
Rather than allow for recovery, these zombie banks locked Japan's economy into its so - called deflationary mindset from which it has yet to escape almost three decades later.
These include sizable volatility of the price of Bitcoins, uncertain security from theft and fraud, and a long - term deflationary bias that encourages the hoarding of Bitcoins.»
And this is where the really savage deflationary impact shows up.
After the Napoleonic Wars ended in 1815 and again after World War I, Britain and other countries imposed deflationary policies lead to trade depression until prices fell to a point where the currency achieved its prewar gold price.
In addition to the lack of price stability and time - tested store of value properties in bitcoin, Peetz and Mall also point out a multitude of reasons as to why, in their view, widespread use of the intrinsically - deflationary asset would be detrimental to the overall economy.
«Deflation won't be eradicated unless the BOJ sets a clear price - stability target of around 2 percent and eliminates deflationary expectations with relentless monetary easing.»
With the equity markets and crude oil pummeled (as deflationary risks rise again), the January 2016 contract trading volume shot to new highs.
And who is to say that the whole earnings structure for lawyers will not face revaluation (similar to house price «corrections») and assistants and partners will be prpeared to work for less just to hold onto their positions in a febrile and possibly deflationary market.
On investment strategies I have «Deflationary Economics» 6.
By doing so, it is adding even more deflationary capacity and even more production into the market, which leads to even lower prices, and even greater bailouts!
Chinese growth continues to slow, keeping pressure on commodity prices and sending deflationary impulses throughout the global economy.
This development coincided with an unprecedented cut in the federal funds rate to near - zero, but these policies have not spurred inflation because of a prevailing deflationary environment.
Second, during deflationary times, buying long - dated Treasuries.
Though gold bugs argue that gold will perform well in either an inflationary or deflationary scenario, history doesn't support that conclusion.
He explains why he and his team think deflationary fears are misguided and why they believe a resurgent US economy is a key to global growth.
The ECB decision could well be influenced by growing deflationary concerns for the eurozone, a theme that will not have been helped any by today's release of German producer prices for September.
In this sense, QE was marginally deflationary as opposed to being inflationary as most people believed.
This puts deflationary pressure on prices in Canada, since imports are relatively less expensive when priced in Canadian dollars.
How long it takes for China to overcome deflationary pressures depends, I think, really on two very different sets of policies.
The combination of very high levels of debt and excess manufacturing capacity can lock an economy into a self - reinforcing deflationary process in which growth stagnates and debt rises faster than debt servicing capacity.
One source I read described short - term bonds as helpful in «inflationary recessions» and long - term bonds as helpful in «deflationary recessions
The central bank noted that the floor was always meant as a temporary measure to guard against deflationary pressure in Switzerland led by strength in the Swiss franc, that was brought on by safe - haven flows at the peak of the euro debt crisis.
Debt however, based on over 100 years of central bank and politician foolishness, only goes up — until a great deflationary crash that may not happen.
Not only will any renewed yen weakness motivate foreigners back into the Nikkei, but also higher compensation and a less deflationary outlook could eventually move additional bonus cash (thanks in part to NISA) into Japanese stock.
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