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To: Jags who wrote (1347)	3/3/1999 10:10:00 PM
From: Jags	Respond to of 3536

>>But the other contributing factor to controlled inflation has been >>the commodity prices being in the dumps which has been largely due >>to oversupply wrt global demand, which in turn has been due to >>global slowdown. Once the emerging markets bottom and start rising >>the commodity index should bounce and cause inflationary pressure. After reading an article in the old posts where the author was saying there is indeed commodity inflation in Aus and elsewhere. Its just not seen in the US bcos of the strong USD. That makes me feel, the USD would have weaken for any commodity inflation to surface in US and worldwide recovery might not do it. Jags

To: Jags who wrote (1347)	3/4/1999 10:40:00 AM
From: Henry Volquardsen	Read Replies (1) \| Respond to of 3536

yes commodity prices are depressed because of global economic conditions and should recover once the world starts growing again (assuming that ever happens). But as our economy becomes more and more focused on technology, information and services commodity prices have a lessening impact on overall inflation. There will be an inflationary impact from rising commodity prices but it will be less of an impact than it would have been even 10 years ago.