New York - The global economy has weathered the new US administration’s sweeping challenges to the status quo with surprising aplomb given serious threats made to world trade, but what is not so clear is how much longer inflation will remain stubbornly low.
Nearly a decade after the start of the financial crisis and an avalanche of emergency monetary stimulus that ensued, inflation is only just now close to the 2 percent target many of the world’s biggest central banks still keep.
Read also: How South Africans are dealing with inflation
But there have been stirring signals on inflation elsewhere in the world, suggesting a turning point may be closer.
The Reserve Bank of India has just dropped its bias to ease policy, citing global inflation pressures. Key releases on inflation for the US, Britain and China are due next week, forecast at 2.4, 1.9 and 2.4 percent, respectively.