19.04.2013 - Falling commodities prices renew deflation fears
The collapse in commodities has not gone unnoticed. Words like depression and deflation are again being talked about and it is possible that the commodity collapse in gold, copper and oil is sending an ominous warning about the direction of the global economy. Even more it may force global central bankers to reassess policy and fight what commodities are saying could be a major global economic contraction or at the worst a deflationary downdraft. Those concerns were raised by St. Louis Fed President James Bullard, who believes that inflation is dangerously low. While Mr. Bullard says he does not use gold as a barometer of inflation, his comments seem to suggest that he should be............................................Full Article: Source
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