Sentences with phrase «rise because of inflation»

In other words, interest rates are not rising because of inflation fears, but because rates are starting to normalize from the unsustainably low levels reached earlier this year.
A lot of people think that Hitler rose because of the inflation in the Weimar Republic, but Germany recovered well from the Weimar.

Not exact matches

«It looks like it maybe calmed some nerves who maybe were expecting a faster pace of hikes because of the rise in inflation,» said Collin Martin, fixed...
From that date, funding would be capped at the rate of medical inflation, a pace slower than the rise in total health care costs because it considers only prices, not how many visits or procedures folks are consuming.
This theory is why the Fed is thinking about raising rates even as inflation has consistently fallen below its 2 % annual target, because the central bank believes it needs to get ahead of rising inflation that a falling unemployment rate will cause.
This week, Germany's business pages have been full of little warnings about the Return of Inflation, the biggest bogeyman in the Teutonic economic lexicon, all because the annual consumer price index rose to its highest level in over three years in December, a shocking 1.7 %.
Gundlach said he's been short on stocks all year and is «up tremendously» by avoiding or shorting certain consumer discretionary areas, such as rent, because of rising inflation.
Treasury yields have been rising not because of rising risks but because the asset bubble in bonds is deflating, inflation is rising, and investors are demanding more yield.
On Wednesday a board member of the Bank of Japan said that the central bank should stick with its ultra-easy monetary policy, despite recent signs of economic recovery, because uncertainty remains over how fast inflation will rise.
MOSCOW, Nov 17 (Reuters)- Russian inflation will exceed forecasts to reach 9 percent by year end and rise further in early 2015 because of the rouble's weakness, Economy Minister Alexei Ulyukayev told radio Ekho Moskvy on Monday.
They could rise because of rising inflation or the expectation of rising inflation.
Not inflation, but this is interesting, because of how your expression, gels, with those whose thoguhts are concerned for inflation, when the world is still roughly at ZIRP, and essentially, is in a state of suspended depression, where assets blow - up, due to savings glut, and a great excess of money printing globally (on the back of false rises in asset pricing).
In addition, a rise in long - term interest rates seems inevitable sooner or later, either because of inflation or because the Federal Reserve backs away from its easy - money policies.
Suppose Britain and Germany both export similar cars but their prices rise 5 % a year in Britain because of higher inflation and just 2 % in Germany.
The central bank says it held off this time in part because it expects the recent strength of the Canadian dollar to slow the rise in the pace of inflation.
«Importantly, as long as rates are rising because the economy is strengthening and inflation is contained, it is reasonable to expect that the reversal of QE will not be painful.»
Euro zone inflation eased in June because of more moderate energy price rises, but the slowdown was less than expected by markets and the core measure of price growth the ECB keenly watches increased by more than anticipated.
Second, rates rose because of the improved economy, not because of inflation which is around record lows.
The move comes in reaction to a post-Brexit surge in inflation, largely because of weakness in the pound sterling that resulted in rising import prices.
There are those who are arguing that too much stimulus could raise the specter of rising inflation, because the economy is operating close to full capacity.
By this, I mean, if inflation kicks in, interest rates should rise, and homes will effectively be worth less because of the decreased purchasing power.
The recently published minute of the Fed's meeting last month showed some members of the policy committee have argued for raising interest rates more quickly in coming months because of strong economic growth, a robust job market and rising inflation, which last month exceeded the Fed's target of 2 percent.
So far, however, this has failed to translate into rising consumer price inflation, because the strength of the US dollar and falling prices for raw materials have offset higher labour costs.
The requirements for a moderate budget had risen $ 1,200 in one year because of inflation.
And of course because of rising exchange rates, inflation which had reached as low as 7.8 % is today at 18.6 % all of which combine to erode the purchasing power of the average Nigerian... who still has a job and an income!
The RPI is expected to rise to over 4 % this year, which, combined with the completion of a 5 - yearly calculation of rateable values, the BRC is expecting to damage businesses» profitability and their ability to employ, because the rates are too heavily influenced by spikes in inflation.
[98] He said that he had announced he was over-riding the normal requirement to link the rise in benefits to the previous September's rate of inflation; the benefits would have effectively been frozen because inflation was negative at that point.
says a lot of people are dipping into savings now... Let's hope that by April next year, the economy starts improving, that the economy is growing, that wages start rising, that inflation starts coming down, because if those things are happening then some of these pressures are more bearable.
Rachel Courtland reports that a paradox exists in the theory of eternal inflation, which gives rise to the multiverse, because...
When Congress increases the maximum Pell Grant faster than the rate of inflation (which it tends to do over long periods of time because college prices rise faster than inflation) but does not make commensurate changes to the eligibility formula, more middle - income families qualify for a grant.
Outside of that group, all of the other countries currently have lower real rates relative to their pre-crisis average rate, either because of low interest rates or rising levels of inflation, suggesting potentially sluggish global growth going forward.
That's because the IRA contribution limit rises in increments of $ 500 based on the inflation rate.
You also have an inflation hedge in the Resources sector of your portfolio, because resource prices tend to rise along with inflation.
Many investors have talked about a «gold bubble» by arguing that gold prices are inflated because of inflation and the Fed's money policy and that once interest rates rise, the money supply will contract and gold will fall, but again, nobody can say with any reasonable accuracy what the fair value of gold at any given point is.
And remember, because of inflation adjustments, the annual amount will gradually rise: it's already moved from the original $ 5,000 per annum to $ 5,500.
That's because regardless of whether you hold real estate or a stock portfolio, your equity will be impacted equally by rising inflation.
My view of the Fed is that they want to drag their feet, because they see inflation rising, so even if Fed funds futures indicate a 75 basis point cut, my current view indicates 50 as more likely, again, with language in the statement that indicates even - handed risks.
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.
Because of the foregoing, costs have been rising at rates in excess of the inflation rate in the general economy.
So, they advertise that they are paying you 7 - 8 % +, when they are really paying you 4.0 - 4.5 %, and exposing you to the risk of inflation, because that payment will never rise.
In its scheduled announcement, the central bank says it held off this time in part because it expects the recent strength of the Canadian dollar to slow the rise in the pace of inflation.
This is because interest received on cash savings is relatively low and it's unlikely to keep pace with inflation (the rising cost of living).
From a sector perspective, energy, materials and financials make up more than a third of the MSCI Europe Index.2 Many of these companies tend do well when inflation is rising and bond yields are rising because typically inflation nudges up commodity prices and financial companies tend to profit when the yield curve steepens.
This is because the dividend income usually rises faster than the rate of inflation, in diversified portfolios of dividend paying securities.
They think Long - bond yields (green line) will rise only because of increasing inflation (blue line), so that the yield of RRbonds (burgundy line) will stay steady.
Bond returns rise if interest rates rise over the long term because of higher reinvestment rates for cash flow, and again, it doesn't matter whether that comes from inflation or real rates.
The Aussie quickly rebounded, however, likely because «the assessment of pricing pressures in the near term has not changed» and inflation is still expected to gradually rise, according to the RBA.
However, pound bears quickly faded the would - be rally, apparently because of the BOE's dovish outlook on inflation, which only warrants a «gently rising path» for the Bank Rate.
Inflation is expected to remain low in the near term, in part because of earlier declines in energy prices, but to rise to 2 percent over the medium term as the transitory effects of past declines in energy and import prices dissipate and the labor market strengthens further.
Inflation is expected to remain low in the near term, in part because of earlier declines in energy prices, but to rise to 2 percent over the medium term as the transitory effects of declines in energy and import prices dissipate and the labor market strengthens further.
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