Tuesday, February 08, 2011

Monetary Tightening in China

It is an interesting question why this is done as a series of small steps to happen over the next years or so, with some steps already taken, rather than a larger initial increase in rates followed by some smaller recalibration afterward.

I believe the inflation in certain metals and food will continue for the time being and I expect oil prices to rise, but do note I'm not paid to make predictions which is an indicator of what those predictions are worth.

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