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Global liquidity infusion may fuel commodity prices

Posted on 12 October 2012

India said huge liquidity infusion by the US and Europe into the financial system could result in increased investments into developing countries though there are concerns these might also fuel commodity prices.
“There are pluses and minuses. The immediate concern is that if so much liquidity is injected into the system, it might lead to elevated prices, especially in commodities. It might lead to increased speculation in commodities, crude oil, wheat, cotton, metals,” Finance Minister P. Chidambaram said………………………………………..Full Article: Source

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