Global economies face rising inflation pressure

Global economies face rising inflation pressure
Dec 4, 2007 02:21
JIMMYB Points: Join Date: Feb 7, 2007 Status: offline	Due to the hiking prices of crude oil, foodstuff, edible oil, iron ore and other products, global economies seem to face rising inflation pressure. It is reported that about 7 nations' CPI have exceeded 5% in Sep. and Oct. Those developped nations are no exceptions. Take US for example, the CPI in OCT. reached 3.5%. According to Wall Street Journal, the CPI will reach 5% at the end of this year if the oil price maintains at the current level, creating a new record in recent 15 years. Please have a look at the rankings of CPI increase. Ranking Nation CPI increase No.1 Russia 10.8% in Oct No.2 South Africa 9.7% in Sep. No.3 Argentina 8.6% in Oct. No.4 Vietnam 8.1% from Jan. to Oct. No.5 Indonesia 6.9% in Oct. No.6 Romania 6.8% in Oct. No.7 India 6.7% in Oct. No.8 China 6.5% in Oct. No.9 Taiwan 5.3% in Oct. No.10 Singapore 3.6% in Oct. No.11 US 3.5% in Oct. No.12 Brazil 3.3% in Oct. No.13 South Korea 3.0% in Oct. No.14 Sweden 2.7% in Oct. No.15 European Zone 2.6% in Oct. No.16 Canada 2.4% in Oct. No.17 Germany 2.4% in Oct. No.18 Italy 2.1% in Oct. No.19 GB 2.1% in Oct. No.20 France 2.0% in Oct. Judging from the data, it seems that global economies really face rising inflation pressure. What do you think of it? Is it so?

Dec 4, 2007 02:21

JIMMYB
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Join Date: Feb 7, 2007
Status: offline

Due to the hiking prices of crude oil, foodstuff, edible oil, iron ore and other products, global economies seem to face rising inflation pressure. It is reported that about 7 nations' CPI have exceeded 5% in Sep. and Oct. Those developped nations are no exceptions. Take US for example, the CPI in OCT. reached 3.5%. According to Wall Street Journal, the CPI will reach 5% at the end of this year if the oil price maintains at the current level, creating a new record in recent 15 years. Please have a look at the rankings of CPI increase.

Ranking Nation CPI increase
No.1 Russia 10.8% in Oct
No.2 South Africa 9.7% in Sep.
No.3 Argentina 8.6% in Oct.
No.4 Vietnam 8.1% from Jan. to Oct.
No.5 Indonesia 6.9% in Oct.
No.6 Romania 6.8% in Oct.
No.7 India 6.7% in Oct.
No.8 China 6.5% in Oct.
No.9 Taiwan 5.3% in Oct.
No.10 Singapore 3.6% in Oct.
No.11 US 3.5% in Oct.
No.12 Brazil 3.3% in Oct.
No.13 South Korea 3.0% in Oct.
No.14 Sweden 2.7% in Oct.
No.15 European Zone 2.6% in Oct.
No.16 Canada 2.4% in Oct.
No.17 Germany 2.4% in Oct.
No.18 Italy 2.1% in Oct.
No.19 GB 2.1% in Oct.
No.20 France 2.0% in Oct.

Judging from the data, it seems that global economies really face rising inflation pressure. What do you think of it? Is it so?

Dec 4, 2007 18:43

STELLA8455
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Join Date: Nov 20, 2007
Status: Offline

I saw this in the newspaper, too. I'm from South Korea. And we feel rising inflation pressure is severe. For example, we have a new trend in Korea. almost cookies were about $0.5 before. but we have now two kinds of cookies. One kind has the same price just like before but it has less amount. And the other kind is much expensive but has the same amount. So we can choose price or amount. This trend shows rising inflation pressure clearly.

Dec 8, 2007 10:51

APAULT
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Join Date: Mar 11, 2006
Status: Offline

You might be reporting what you read but those figures are totally misleading. They are not the figures for October, but for the 12 months to October, which is very different. I saw this inaccuracy on CCTV recently too.

The inflation is almost inevitable with so many world economies booming... demand outstrips supply. Sure, market theory says suppliers will increase production because of the extra profits being made, but it takes time. In Australia mines have increased production put the ports cannot handle it and it takes quite a while to increase port capacity. So governments worldwide are right to be slowing down the rapidly developing economies. (Of course this is just one inflation driver, there are others)

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