Sentences with phrase «pricing against inflation»

Most of the returns should come from maintaining pricing against inflation, moderate product innovation, dividends, and buying back shares.

Not exact matches

Against three - digit world oil prices, these costs may seem competitive, but a look at some historical figures reveals why investors may remain nervous about oilsands cost inflation.
So what I need to do is look at how markets trade price - to - book against inflation, how markets trade on historical P / Es, what have been the market outcomes.
Prices for gold bullion and other precious metals have climbed over the past decade to new heights as investors sought protection against the erosion of incomes and wealth by inflation.
In short, the FCC, like the CMHC and its U.S. counterparts Freddie Mac and Fannie Mae, has facilitated borrowing against an appreciating asset and contributed to further price inflation.
The Fed left its key short - term rate at 1.5 per cent to 1.75 per cent — the level it set in March after its sixth increase since December 2015 — as it gradually tightens credit to control inflation against the backdrop of a tight labour market and a pickup in consumer prices.
That was part of our thinking in late 2013, when inflation was running persistently below target: we were concerned about the downside risks to inflation, but decided against easing policy further to avoid exacerbating growing household indebtedness and elevated house prices.
That said, a simple model of price growth that includes an index of the dollar against our trading partners does an OK job of tracking year - over-year changes in core PCE inflation (the Fed's favored gauge).
The Fed is gradually tightening credit to control inflation against the backdrop of a tight labor market and a pickup in consumer prices.
When one compares bitcoin's five - year price momentum (adjusted for inflation) against that of previous asset bubbles, bitcoin dwarfs the runners - up — the Mississippi bubble of 1720 and the Amsterdam Tulip Mania of 1637.
Let's take a look at some of the key fundamentals that have kept gold prices on a tight leash during the last few years against the backdrop of a sharp correction in the equities markets, rising inflation, geopolitical unrest and the likely end of an era of low interest rates.
Looking at the gold price chart since year 2000 gives us a clear picture as to how well gold actually works in protecting your buying power against inflation, which today's interest rates are not even close to being able to.
Companies of consumer staples are able to increase their prices a little faster but competition usually limits the ability and neither sector is a good hedge against inflation.
But the data suggest that the market normally prices yields slightly above the economy's nominal growth rate, partially as insurance against getting the inflation forecast wrong.
For then the world might understand why even at its recent price above $ 1,300 per ounce gold has not come close to keeping up with the inflation, the currency debasement, of the last few decades, why gold has not fulfilled its function of hedging against inflation.
The results of statistical tests that use the Sound Money and Monetary Freedom indicators as independent variables should be checked against results that use raw inflation data, instead, or using tests that strip out price stability data altogether.
He does not share some foreign central bankers» belief that their job is to defend against excessive asset - price inflation: «No sensible policy,» he maintains, «could have prevented the housing bubble.»
Against this backdrop, the modest median home price of $ 18,000 — $ 143,522.74 adjusted for inflation — began a multi-decade trend towards higher prices.
Like the Saloon, for either a one - off fee or a series of monthly payments from as little as # 1 (up to # 40 for the AMG C 63), Mercedes - Benz Service Care guarantees owners the price of parts and labour for up to four years to protect against inflation.
The right response here is: for the state to leave this alone and let the companies involved work out whatever contractual terms they wish, whether agency model, wholesale model, or some hybrid; stop employing antitrust law against even nominally private companies; stop enacting and enforcing laws that give rise to monopoly prices and oligopolies and corporatism and crony capitalism in the first place, such as copyright law, antitrust law, pro-union legislation, minimum wage, taxation in general, inflation and the business cycle, and other business regulations.
Ironically, the drop in breakevens, which seems to have been overly influenced by the fall in crude oil prices, has occurred against a backdrop of rising core inflation.
As a general rule, Resource stocks provide the most effective hedge against inflation because they gain directly from the rising prices of the commodities they produce.
We suggest rounding up to the nearest $ 5,000 from that number, to give yourself a cushion against inflation and price changes on the replacement property.
Historically, commodities such as metals and agricultural products have been a good hedge against inflation, though their prices can be volatile.
The Over 50s Increasing Life Insurance Plan is designed to help protect your cash sum against inflation, your premiums and cash sum are reviewed each year in line with the change in the Retail Prices Index (RPI).
That's why for the conservative investor looking for U.S. treasury inflation bonds, I - Bonds have become another way to defend themselves against the ravages of rising prices with no risk to their principal.
Resource stocks in particular will provide a hedge against inflation, because they gain directly from rising prices for the commodities they produce.
If there is any kind of inflation worth really protecting yourself against then one thing you will notice at its onset is a divergence in the price of physical and GLD; with GLD offering very little protection if any against inflation.
A chapter on hedging against inflation focuses on finding stocks with «moats» that can raise prices as inflation starts to roar, and the final chapter looks at commodities, gold and other real assets.
They can protect against inflation; when economies experience inflation, the prices of commodities have a tendency to go up.
The companies will still provide a hedge against inflation as their sales increase on higher commodity prices and you will earn a dividend yield while you hold the shares.
The Consumer Price Index is a broad measure of inflation, and inflation can have a dramatic impact on a currency's value against rival currencies.
Global demand for dividend - paying exchange - traded funds (ETFs) is strong, as evidenced by robust flows of over $ 20 billion in 2016; US - based ETFs accounted for more than half of that amount.1 The appeal of dividend - paying stocks is clear, as dividends can help provide a nice offset to rising inflation, while most fixed - coupon debt can not hedge against rising prices.
One way to analyze the relative value of inflation - linked bonds versus nominal bonds is to compare the implied break - evens priced between the two against near - term inflation expectations.
Typically hard assets are an excellent hedge against inflation, meaning their value rises as the general price levels for goods and services increases (known as Consumer Price Index or price levels for goods and services increases (known as Consumer Price Index or Price Index or CPI).
In some instances, this type of policy can protect against inflation and the rising cost of funeral expenses by locking into today's prices for services and merchandise.
But the data suggest that the market normally prices yields slightly above the economy's nominal growth rate, partially as insurance against getting the inflation forecast wrong.
It has become so easy for the average investor to hedge against inflation in this way that commodity prices surge at the very hint of inflation.
The problem is, inflation and high commodity prices — including oil and gas prices — tend to feed on each other in a vicious circle: people stock up on commodities to hedge against inflation, which leads to even higher prices, and thus inflation continues to rise.
These stocks constitute a perfect hedge against inflation, since energy and resource prices rise if inflation roars.
Limiting initial withdrawals to 4.0 % (plus inflation) is sufficient to protect against a semi-permanent higher price plateau of two decades.
With a good high - yielder, you get steady dividends, the potential for price appreciation, and protection against inflation.
Shares offer some protection against inflation because most companies can increase the prices they charge to their customers.
Corn has appeal as an investable asset because it can serve as a hedge against inflation brought about by increases in food prices.
A garden hedges against inflation in food prices, particularly if you focus on perennials (like asparagus) and on heirlooms that you pollinate yourself (like tomatoes).
It is no different to stress - testing plans against different commodity prices or inflation rates.
Consumer Food Price Inflation (CFPI) for April was 5.11 per cent, against 6.14 per cent in March and 9.21 per cent in the same month a year - ago.
We suggest rounding up to the nearest $ 5,000 from that number, to give yourself a cushion against inflation and price changes on the replacement property.
«We believe that the North Scottsdale market, which is showing signs of recovery from the recession, is a great hedge against inflation, particularly the purchases we have made at significantly discounted prices for properties with in - place cash flow.»
Agricultural land in the Great Plains has seen strong price growth over the past few years, as institutional investors found it an attractive hedge instrument against inflation expectations, coupled with strong returns.
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