Global Inflation Has Become a Reality

Recently, the global rise in food prices of all kinds of voices, the other indicates that inflation soaring commodity prices also situation. A new round of global inflation seems to have is coming to control excess liquidity a top priority.

Recently, the global rise in food prices of all kinds of voices, Israel, tomatoes, Chinese cabbage in Korea, China and Pakistan, garlic bread and other products, higher prices are rare. Meanwhile, the U.S. renewed inflation expectations, the European inflation rate rose to its highest point in nearly two years, inflation has become a major economic problems currently facing information is also filled with the media, seem to enter the global inflation upward channel.

Inflation has become a reality?

Over the past six months, global wheat and maize prices have gone up by 57% and rice rose by 45%, sugar up 55%, soybean prices have risen over the past 16 months to the highest value.

Reuters Jefferies Group’s data shows financial firms in recent weeks, global meat prices have risen to the highest in 20 years. Meanwhile, oil prices rose nearly 20%, sugar up 55%. The prices of staple agricultural products downstream industry chain, a direct result of increases in the prices of bread, cakes, chocolates, biscuits prices are rising.

Many market participants attributed to food prices caused by speculation of extreme weather, which, Kenya, Uganda, Nigeria, Indonesia, Brazil and the Philippines, the government also issued a warning: extreme weather are expected next year, but dealers speculation, next year there will be shortage of food.

Moreover, the World Development Movement, warned that hedge funds, pension funds and investment banks are likely to drive food prices speculative rise further.

But indicates that the inflation of oil, gold, cotton and other international commodity prices are skyrocketing market situation. This year, gold continued to rise, breaking the $ 1,300 mark, the spot price of gold has risen 26.56%, and since September has been at record high 16 times. In addition, diamonds, emeralds and other rare materials to avoid currency devaluation prices soaring this year, more than doubling the wholesale price of jade.

More signs that inflation has now, the international stock market shocks all the way upstream. Chinese A shares, for example, 3000 is no longer the bottleneck, the long-term upward trend in the stock market is generally good.

Further strengthen the economic fundamentals of the global trend of inflation expectations. Eurostat, said recently that the euro zone consumer prices rose 1.8% in September, an increase of 1.9% in October. Growth rate of 1.9% since November 2008 is the maximum value, beyond the survey from 1.8% economists expected.

For China’s high CPI, the State Council Development Research Center Zuo Jun has the “second five-Economic Situation Outlook Forum” said that “the short term, China’s economy is indeed facing great pressure on inflation. The current round of inflation in the major from four areas, namely: International imported inflation pressures; upward pressure on prices of agricultural products; loose monetary policy brought about by the pressure of liquidity; and is promoting the benefits of the reform of resource prices upward pressure on prices. ”

Marketing strategy, who asked not be named, analysts believe that the formation of the current round of global inflation is the direct cause of depreciation of the dollar, leading to hot money pouring into emerging economies, capital markets, partly caused by imported inflation, but the root causes of the financial crisis, as rescue the long-term implementation of national monetary policy, inflation is awash with liquidity results.

Author Bio: I am a professional editor from China Suppliers, and my work is to promote a free online trade platform. http://www.frbiz.com/ contain a great deal of information about wrap stretch film,vending bulk candy,timberland roll top, welcome to visit!

Category: Business
Keywords: wrap stretch film,vending bulk candy,timberland roll top,

Leave a Reply