Inflation

BANGKOK : Thailand will try to keep inflation below 5 per cent this year, its prime minister said on Monday, amid surging fuel prices and a fragile economic ...

Despite headline inflation breaching the central bank's target range of 1-3 per cent, it is not expected to raise interest rates soon due to the slow recovery. Government measures including price controls, tax cuts, and subsidies have helped slow the rise. Last week, the state planning agency cut its 2022 economic growth outlook to 2.5 per cent to 3.5 per cent from 3.5 per cent to 4.5 per cent due to global uncertainty and inflation.

India's export duty hikes and tax cuts will likely hurt economic growth and raise the chances of the fiscal deficit widening, but do little to bring down ...

Register now for FREE unlimited access to Reuters.com People started to invest in capex, and it was not designed to service the domestic market," V R Sharma, managing director of Jindal Steel & Power, told Reuters. Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com "Higher food inflation, a pending rise in electricity tariffs, the continued passage of higher input costs from firms to consumers and other second-round effects are likely to drive inflation," Nomura's Verma said. Economists expect an upside risk to inflation due to a rise in food prices and electricity tariffs, and higher input costs for firms, to offset the measures taken by the government.

India Business News: The export duty hikes and tax cuts will likely hurt economic growth and raise the chances of the fiscal deficit widening, but do little ...

People started to invest in capex, and it was not designed to service the domestic market," V R Sharma, managing director of Jindal Steel & Power, told Reuters. "Higher food inflation, a pending rise in electricity tariffs, the continued passage of higher input costs from firms to consumers and other second-round effects are likely to drive inflation," Nomura's Verma said. Economists expect an upside risk to inflation due to a rise in food prices and electricity tariffs, and higher input costs for firms, to offset the measures taken by the government. The moves could hurt growth and the fiscal deficit could widen by 40-50 basis points, they said, despite the central bank governor saying India was likely to achieve its fiscal deficit target at 6.4% of GDP. Over the past month, India's fiscal and monetary policy have U-turned from being growth-focused to honing in on inflation - with the central bank raising the key interest rate by 40 basis points, and the government cutting taxes on fuel and disincentivising exports. NEW DELHI: The export duty hikes and tax cuts will likely hurt economic growth and raise the chances of the fiscal deficit widening, but do little to bring down retail prices within the central bank's tolerance level, economists and industry officials said.

India unveiled inflation-fighting fiscal measures estimated to cost US$26 billion that include lower fuel taxes and import levies, raising speculation the ...

E Ink Holdings Inc (元太科技) yesterday said it would further expand capacity to cope with robust demand for e-paper displays used in e-readers, e-notes and electronic shelf labels, as the COVID-19 pandemic and rising inflation have not dampened consumer demand. Hotai Motor Co (和泰汽車), which distributes Toyota and Lexus vehicles in Taiwan, yesterday introduced Toyota Motor Corp’s first all-electric sports utility vehicle (SUV), the bZ4X, joining rivals in vying for a share of the nation’s fast-growing electric vehicle market. Hon Hai Precision Industry Co (鴻海精密) has made further progress in its expansion into semiconductor manufacturing as its subsidiary teams up with Dagang NeXchange Bhd (DNeX) to build a 12-inch wafer fab in Malaysia. Big Innovation Holdings Ltd (BIH), a wholly owned subsidiary of Hon Hai, has inked a memorandum of understanding (MOU) with DNeX to collaborate on establishing and operating the semiconductor fab in the Southeastern Asian country, it said in a statement released by DNeX on its Web site. INVENTORY DOUBLED: Key parts have backed up in warehouses, halting notebook production, as Acer’s CEO said that a gradual reopening would not solve the problem PC vendor Acer Inc (宏碁) yesterday said that lockdowns in China to control COVID-19 upended key component supply and disrupted PC production, although chip shortages have been improving. Although rising inflation is weakening companies’ purchasing power, E Ink said that its customers have not scaled down orders for e-paper displays used in e-readers. India had earlier budgeted to raise about 14.3 trillion rupees through debt issuances in the fiscal year through March next year.

Governor Andrew Bailey on Monday pushed back against his critics who blame the Bank of England for allowing inflation to accelerate to a 40-year high, ...

The facts simply do not support this," Bailey said. Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com

Central bank governor insists he is treading a 'narrow path' to contain prices without triggering a recession.

Andrew Bailey defends response to Covid pandemic and indicates Bank will not take aggressive approach to raising interest rates.

About 500,000 people who worked before the pandemic have stopped looking for a job, most of them over the age of 50. He said the Russian invasion of Ukraine would have a significant and downward effect on economic growth. “This is the price we accepted together to pay to protect our values … It was worth paying this price.” On the latest number, UK GDP in March was only 0.6% above its pre-Covid level, and it is substantially below the path it was expected to follow pre-Covid.” “What we do have is a very tight labour market. But that does not look like a story about rapid demand growth,” he said.

Bank of England Governor Andrew Bailey said the cost-of-living crisis is holding back the UK economy and that policy makers will take that into account in ...

Governor of the Bank of England Andrew Bailey today snapped back at criticism he and the central bank's committee of rate setters have fuelled inflation.

It also cut rates to a record low 0.1 per cent, keeping them there until last December. The Bank launched an emergency package of QE in March 2020 in response to the pandemic to cushion its economic impact. Governor of the Bank of England Andrew Bailey today snapped back at criticism he and the central bank’s committee of rate setters have fuelled inflation in the UK.

RHB on Tuesday (May 24) upgraded Sheng Siong to “buy” from “neutral” as it expects rising inflation to boost the supermarket operator's topline as consumer ...

A senior official in Argentina charged with leading government efforts to tame sky-high inflation resigned on Monday due to differences over how to contain ...

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RHB analyst Jarick Seet believes that Sheng Siong is a beneficiary of the current rising inflation. Consumers may release some pent-up demand of dining out, but ...

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Consumer prices excluding fresh food increased 2.1% in April from a year earlier, government data showed last week, exceeding a 2% gain forecast by economists.

While stronger-than-forecast price growth has led other major central banks to raise interest rates, the Bank of Japan (BOJ) is so far sticking with its view ...

The prices are up, demand is likely to be down. If inflation does continue at these high levels, then recession might not be too far away.

Opposition parties in every country love inflation and its pressures as it gives them a palpable plank to climb and dominate the debate from the other side—from the side of the voter. The hunt for the cheaper replacement is on in the category of fruits and vegetables, just as it is on in the case of staples and non-staples. The first inputs that suffer are those that go into the body as food and drink, then into services of every kind, into production raw materials where input cost is debated to death and replaced at times with inferior stuff. When fewer clothes are sent to the dhobi for washing and ironing than before, it doesn’t matter as much as when less nutrition is going into the gut of the family. At this point of time, however, many manufacturing industries that depend on key raw materials with tightly controlled prices are battling the challenge of how to manage all this. Add to it the solution of “use-less and stretch-more” that kicks in instinctively. As the Ukraine-Russia war continues into its 90th day, Brent crude oil prices threaten to nudge $120 per barrel and China keeps its production closed due to its Omicron wave, expect this bite to continue, hopefully at the same level, if not double-digit inflation levels, sooner than later. The housewife is on a quest to ensure that the quantum of food on the thali is not reduced. And is the blame being laid right at the doorstep of the Ukraine-Russia war and the high prices of crude oil (last at $112.5 per barrel)? And is this the cost one pays for living in a highly inter-connected and dependent world when it comes to the movement of goods and services? The costs of cabbage, radish and karela (bitter gourd) have increased by 75–88%. Petrol is expectedly at 61% with a relatively free-market global pricing structure adopted by India. In short, the prices of everything from potato (+20%) to coriander (+48%) have gone northwards. How does a family at the lower end of the earning spectrum react to high prices? The fact remains that India is witnessing very high prices at the market level.

THE upward creep of core inflation might prompt Singapore to step in with both fiscal and monetary policy measures, economists said on Monday (May 23), ...

In Atlanta, businesses are competing for staff as the unemployment rate falls to a record low but real wages are falling.

Worries over inflation tempered optimism over President Joe Biden's remark that he was considering reducing U.S. tariffs on Chinese imports.

Lingering concerns about inflation have been weighing on the market and have kept major indexes in a slump. That could slow business activity and potentially bring on a recession. The benchmark S&P 500 is coming off its longest weekly losing streak since the dot-com bubble was deflating in 2001. The Dow Industrial Average DJIA,rose 2% to 31,880.24 and the Nasdaq COMP,climbed 1.6% to 11,535.27. “What we’re seeing today is traders and investors coming in and taking advantage of the lower (price) levels,” she said. Investors fear the central bank could go too far in raising rates or move too quickly. Wall Street will also get a few economic updates this week from the Commerce Department. On Thursday it will release a report on first-quarter gross domestic product and on Friday it will release data on personal income and spending for April. Wall Street had an upbeat start to the week after seven weeks of declines that have nearly ended the bull market that began in March 2020. “Russia’s invasion of Ukraine, a wave of COVID-19 infections and lockdowns in mainland China, relentless inflation, and tightening financial conditions have disrupted production and stifled demand, causing the global economy to stall,” said Sara Johnson, an executive director at S&P Global Market Intelligence. The S&P 500 SPX, +1.86%rose 1.9% to 3,973.75 , with technology and financial sector stocks doing much of the heavy lifting for the benchmark index. Investors are keeping an eye on the impact of the war in Ukraine on commodity prices and the possible blow to global economic growth from pandemic lockdowns in China. Biden, who announced a new economic and trade initiative with the region while on a visit to Japan, confirmed to reporters that he planned to discuss the issue of punitive tariffs imposed on China during former President Donald Trump’s administration with Treasury Secretary Janet Yellen once he returns to Washington.

Investment vehicles tied to raw materials such as oil and wheat drew in net inflows of $38.7bn in the year to May 10, building on weekly inflow highs through ...

US President Joe Biden said he may reconsider Trump-era tariffs imposed on imports from China amid growing calls from companies to dump the levies. “We did not ...

The Australian dollar slipped 0.5 per cent to US70.78¢, from a top of US71.26¢ overnight. Ms Georgieva said the IMF is projecting weaker growth for the world than it had anticipated last year, and conceded there was a risk of further downgrades. Beijing responded with its own taxes on US imports. The rollback of tariffs would reduce US inflation by 0.25 percentage points, according to the Peterson Institute’s estimates. “A cut to tariffs would help soften US inflation at the margin,” said Taylor Nugent, economist at NAB. US President Joe Biden said he may reconsider Trump-era tariffs imposed on imports from China amid growing calls from companies to dump the levies.

Global shares are trading lower as worries over inflation temper optimism over President Joe Biden's remark that he was considering reducing U.S. tariffs on ...

The summit came on the final day of Biden’s first trip to Asia as president. That could slow business activity and potentially bring on a recession. Wall Street will get a few economic updates this week from the Commerce Department. On Thursday it will release a report on first-quarter gross domestic product and on Friday it will release data on personal income and spending for April. In energy trading, U.S. benchmark crude lost 75 cents to $109.54 a barrel in electronic trading on the New York Mercantile Exchange. It added 1 cent to $110.29 per barrel on Monday. Brent crude, the international standard for pricing, fell 83 cents to $112.59 a barrel. Investors fear the U.S. central bank could go too far in raising rates or move too quickly. In currency trading, the U.S. dollar edged down to 127.37 Japanese yen from 127.78 yen. On Wednesday, investors will get a more detailed glimpse into the Fed’s decision-making process with the release of minutes from the latest policy setting meeting. “Snap’s stock price went snap, crackle, pop, as it fell by over 30% in extended trading after the CEO, in a note to employees, said it would miss quarterly guidance on growth and revenues,” Jeffrey Halley of Oanda said in a commentary. Technology shares that gained hugely during the pandemic are now taking the brunt of selling thanks to their hefty prices. Biden, who announced a new economic and trade initiative with the region while on a visit to Japan, confirmed to reporters that he planned to discuss the issue of punitive tariffs imposed on China during former President Donald Trump’s administration with Treasury Secretary Janet Yellen once he returns to Washington. Investors are keeping an eye on the impact of the war in Ukraine on commodity prices and the possible blow to global economic growth from pandemic lockdowns in China. European shares fell in early trading, with France’s CAC 40 down 1.3% at 6,275.73. Germany’s DAX dipped nearly 1.0% to 14,038.93, while Britain’s FTSE 100 shed 0.7% to 7,460.16. The future for the Dow industrials was 0.8% lower while the S&P 500 future slipped 1.3%.