The trillion-dollar inflation conundrum facing the world – Sydney Morning Herald

Attempts to extrapolate the March data into a narrative of structurally increased inflation are, therefore, likely to be misleading until clearer air is reached in June and beyond.
The US Federal Reserve Board, its peers elsewhere and the doves in the bond market believe that, while inflation might spike over the next couple of months to something above 3 per cent, that will be a transitory phenomenon and the rate will decline as the base effects wash through.
The weight of the dramatic increases…

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