Sentences with phrase «increase inflationary pressures»

That will increase inflationary pressures, spurring the Federal Reserve Board's Open Market Committee to force higher interest rates to cool the economy.

Not exact matches

With inflationary pressures already building, the price increases could cause the economy to overheat and the Federal Reserve to hike rates at a fast pace.

This, in turn, led to increased labour demand, which put downward pressure on the unemployment rate and upward pressure on wages, resulting in higher inflationary pressures.

While such a strategy lowers gross borrowing requirements in the medium - term, it will fuel already high inflationary pressures and increase the government's debt stock.

And third, investment adds to our stock of capital and increases the level of «potential output» or productive capacity — the level of output our economy can produce sustainably without generating inflationary or disinflationary pressures.

Reflecting indications that US economic growth remains robust and concerns that inflationary pressures may be building, markets are now expecting the federal funds rate to reach 3 1/4 per cent by August, which implies 25 basis point increases at three of the next four FOMC meetings (Graph 17).

In addition to the direct effects of high oil prices, broader upstream inflationary pressures were apparent, including further increases in building construction prices.

Inflationary pressures have increased over the past year.

The changes to the forecasts for inflation over the years to June 2000 and June 2001 (excluding the effect of the GST) appear to reflect current and prospective developments in oil and tobacco prices as well as a modest increase in the assessment of underlying inflationary pressures.

There has been a gradual increase in inflationary pressures during the past year.

This is well below the high of 4.9 per cent seen in June 2004, despite the 150 basis point increase in the federal funds rate since then and signs that inflationary pressure may be building.

In part this increase was due to an increase in the cash rate in light of inflationary pressures building on the back of the boom in the resource sector, as well as reflecting the increasing return to capital in Australia at that time; thereafter, interest rates declined sharply in response to the global financial crisis.

Additionally, most FOMC participants also saw relatively low risks of unwanted increase in inflationary pressures amid tighter labor market conditions, and there are signs that the risk management argument (asymmetrical risk with policy rate near effective lower bound) is gaining traction as well.

Couple this economic softness with the fact that just about any commodity you can think of from iron ore, to orange juice, to silver, to coffee, to copper is at or near a five year low and it becomes increasingly difficult to find any significant inflationary pressure and hence the imminent need for a (small) rate increase.

There will also be intense pressure for higher taxes, increased borrowing, and inflationary money creation.

This group also concludes that central bank quantitative easing (which began in 2009) is finally beginning to create inflationary pressures in the form of increased wages and rising industrial commodity prices.

Volcker stayed the course and continued to fight inflationary pressures by increasing interest rates.

When more money is printed, gold has traditionally been a beneficiary, for two key reasons: 1) If the money - printing is accompanied by economic growth, greater access to capital might boost demand for luxury items, including gold (the Love Trade); and 2) If the money - printing isn't accompanied by economic growth, inflationary pressures might prompt investors to increase their exposure to real assets, such as gold (the Fear Trade).

But if confidence continues to grow and translates into true market fundamentals, inflationary pressures will eventually take over as the velocity of money will finally increase.

Schools need sufficient resources to deliver the educational excellence parents, governors, staff and politicians all want to see - but the funding freeze, increased costs and other inflationary pressures mean that many schools are facing financial strain.

The reasons for those higher rates involve everything from extraordinary fiscal stimulus via trillion dollar deficit spending, significant changes to the tax structure, an increase in Treasury bond supply, central bank quantitative tightening (QT), a decrease in Treasury bond demand from other countries as well as inflationary pressures.

It would be ideal to lock in a long - term, low - interest rate asap before they start steadily increasing to curtail the imminent inflationary pressure.

Of course, the OECD predictions are predicated on the idea that the BoC will have to increase it's overnight and fixed income rates sooner because there's already inflationary pressure in the economy.

Post-election, a focus on potential inflationary conditions and increased interest rates put upward pressure on bond yields.

Still any movement towards massive infrastructure spending and tax cuts will lead to inflationary pressures on the U.S. economy and this could mean additional rate increases by Federal Reserve Chair, Janet Yellen.

This systemic, distributed pressure release into the system of review scores is inflationary and increases game review scores over time.

The big run up in prices have been over the past few years and there have been increasing signs of economic stress as a result (inflationary pressures).

That is the principle vehicle of harm of the current nationalized carbon cycle system, and so waste would be squeezed out of the system, employment levels would increase, tax levels and tax churn drop, inflationary pressure reduce, obstacles to investment reduce, and a flood of pent up innovation would be unleashed.

Inflationary pressures on the costs of parts and labour mean more claims expenses and premiums have increased little in the last half decade.