RE: Inflation - over 10% by Xmas5 May 2022 15:18
And he gets paid how much to say that?
'Global commodity prices are assumed to rise no further' - they will keep rising for a while still. Global food reserves are dwindling and this season's harvest will be badly affected by a lack of fertiliser at affordable prices. And metal prices will keep hardening as big miners are rewarding shareholders, not investing in new production capacity. Where are the resources for EVs, grid improvements and renewable energy coming from?
'global bottlenecks ease over time' - does he not watch the news? The bottleneck developing in China is worse than the bottlenecks that Covid caused in the West. And the bottlenecks will spread, like the problem with microprocessors.
And, if the BOE do not increase interest rates fast enough, the £ will weaken, which will add further inflationary pressure. Wage increases will flow through into the domestic market, also adding to inflation and with higher wages the price of property will increase as will the imported goods required to furnish them.
#eat_cabbage