While media headlines have focused on low energy prices and the risks of deflation, core inflation has actually risen in most advanced economies in recent months. However, it has done so for very different reasons; in the euro-zone and Japan, currency depreciation has temporarily boosted goods inflation, whereas in the US the tightening of the labour and housing markets are the main drivers.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.