The global inflation picture hasn’t changed much in recent months. As the global economy grows sluggishly inflation rates seem to be flatlining. In fact, in many of the largest economies the rate of inflation is slowing. The latest readings in the USA, China, UK and EMU all showed slowing rates of inflation with the EMU and USA at just 1.3% and 1.5% year over year. Not only have central banks failed to generate any inflation through their various policies, but they’ve also failed to bring about substantive changes in the employment picture.
Chart via Orcam Research: