tag:blogger.com,1999:blog-11027528911364475.post7058007827959342316..comments2024-02-18T21:10:05.205-08:00Comments on EconomPic: Producers Price Index (PPI) - OctoberJakehttp://www.blogger.com/profile/07946497592651234440noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-11027528911364475.post-58827304589308556562008-11-18T15:08:00.000-08:002008-11-18T15:08:00.000-08:00hey ed-i think you're right on. the slowing global...hey ed-<BR/><BR/>i think you're right on. the slowing global economy should keep demand for goods and commodities not only in check, but negative. this, along with the inability of the fed and their central bank counter-parts in the developed world to lower rates much more puts the threat of deflation in the limelight. i think they've learned enough about the damage this does to an economy so loaded in debt (existing debt becomes a lot more expensive in a deflationary environment) that they will pull out all the stops necessary to keep this from happening.<BR/><BR/>so my thoughts which i hope to write more about in the near future... deflation in the short-term (1-2 years) with inflation coming back thereafter. in other words, the deflation the TIPS market is currently pricing over 5 years looks awfully attractive to me.<BR/><BR/>thanks for the post and congrats on the top 25 rank! your blog deserves it.Jakehttps://www.blogger.com/profile/07946497592651234440noreply@blogger.comtag:blogger.com,1999:blog-11027528911364475.post-91918556237758973712008-11-18T07:22:00.000-08:002008-11-18T07:22:00.000-08:00Jake, what is your take on these numbers? I think...Jake, what is your take on these numbers? I think the headline is somewhat deceptive because it is all due to oil. Core inflation is rising and overall producer inflation is still over 5%.<BR/><BR/>While I don't think inflation is a problem because of the economy and asset deflatio, I'd still love to hear your take.Edward Harrisonhttps://www.blogger.com/profile/06078305973678479125noreply@blogger.com