In its latest snapshot the ONS said women’s clothing prices rose more slowly than usual for this time of year, while alcohol and tobacco also helped to ease the pressure on inflation. There was some upward pressure from the rising cost of recreation and cultural activities, as well as from car prices. … [Read more...] about UK inflation falls to 2.5%, its lowest level for a year
“These figures back up outgoing Bank of England Governor Mark Carney’s suggestion that there is clear headroom to cut interest rates to stimulate the economy if required,” said Robert Alster, head of investment services at Close Brothers Asset Management. … [Read more...] about UK inflation hits more than three-year low, raising pressure on BoE
A point seconded by Dr Soumya Kanti Ghosh, Group Chief Economic Adviser, State Bank of India (SBI). He believes RBI missed the bus in cutting rates in December. “Our worry is that if the food price inflation does not mean revert, we can slip into stagflation.” … [Read more...] about Is high retail inflation in India hinting at stagflation?
NEW DELHI: Pronab Sen, the newly appointed chairman of the Standing Committee on Statistics, has said core inflation target of 3% with an upper tolerance level of 4% and lower limit of 2% should be part of the Reserve Bank of India’s (RBI) mandate, along with the headline retail inflation. Core inflation, excluding telecom tariffs, has entered deflationary territory, which is acause for worry, Sen, who is also India’s former chief statistician, told ET. Retail inflation rose to its highest level in more than five years in December to 7.35% following a spike in food prices, with core inflation, a measure of demand inflation, being 3.7% in December. “I’m not worried on the inflation front but more on the nature of the response. A small uptick in telecom has led to higher core inflation. Actually, there are parts of core which are staring at deflation, not inflation,” Sen said, adding that the RBI should be looking at core. On the inflation target band, he … [Read more...] about RBI should target core inflation at 3 per cent: Pronab Sen
2017 was considered as a successful year in controlling inflation, with the figure kept under the set target of 4 percent compared with 3.53 percent in 2016. In 2018, the Vietnamese government aims to control the consumer price index at around 4 percent. Economic experts said it’s a feasible target, however there are some risks, requiring careful and flexible price control management. … [Read more...] about Curbing 2018’s inflation needs prudent price control