The latest readings on global inflation rates showed low global inflation. In fact, the majority of developed nations are experiencing a bout of disinflation as growth remains weak and many regions in the world suffer from excess capacity and high unemployment.
The latest update:
- USA: +1.5%
- China: +2.5%
- Japan: +1.5%
- UK: +2%
- EMU: +0.8%
I think it’s safe to say that this environment not only looks nothing like the 1970’s, but that low inflation is certainly more than a US phenomenon. It is also clear that all of the supposed “money printing” from QE didn’t stoke the inflation fire much, if at all.
![Cullen Roche](https://pragcap.com/wp-content/uploads/2022/01/Headshot2022-1-144x144.png)
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.
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