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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 379.87+0.4%Nov 11 4:00 PM EST

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To: TobagoJack who wrote (75033)6/13/2011 2:00:49 PM
From: elmatador1 Recommendation   of 217708
 
Our inflation is not US 'core inflation' of the US that excludes oil and food.

If today food and oil is volatile our inflation is volatile too.

Compare that with the US:

Analysts expect the report by the Bureau of Labour Statistics to show that the annual inflation rate rose to 3.3 per cent in May from 3.2 per cent the previous month. However, the core inflation rate – which strips away volatile items such as food and gasoline – should remain close to April’s 1.3 per cent.</>

Here is the trick:
With key lending rate in a range of zero to 0.25 per cent in a bid to keep the economy on the path to recovery, if you use annual inflation rate of 3.3 per cent, banks would be paying people to borrow their money.
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