Following Trump’s landslide victory, the author analyzes the potential impact of his policies on the price of gold, arguing that his focus on reducing geopolitical risk and implementing deflationary measures will likely lead to a decline in gold prices. Meanwhile, Trump’s tariffs could force China to stimulate its economy, benefiting companies operating in the domestic Chinese market.
Results for: Deflation
China’s central bank has slashed two key interest rates to record lows in an attempt to revive the struggling economy. The move follows a disappointing third-quarter growth report and aims to stimulate spending and counter deflationary pressures.
Japan’s newly appointed economy minister, Ryosei Akazawa, has emphasized the need for the Bank of Japan (BOJ) to proceed with caution when considering future interest rate hikes. He stresses the government’s commitment to eradicating deflation and underscores the importance of close collaboration between the government and the central bank.
The rapid advancement of artificial intelligence (AI) is sparking debate among economists and investors about its potential impact on inflation and the global economy. While some see AI as a powerful deflationary force, others highlight its potential to boost productivity and GDP growth. This article explores the arguments for and against AI’s deflationary impact and examines its potential to revolutionize various industries.
Despite recent improvements in economic growth, deflation persists in China, raising concerns about its potential impact on export destinations. However, analysts suggest that this impact has been minimal, with Chinese goods representing a small portion of final consumption in export markets and destination countries experiencing service price inflation that overshadows any disinflationary effects.