Are Inflation Expectations Becoming Entrenched? The Data.
With inflation front and centre of everyone’s mind, let’s test a simple hypothesis. If inflation expectations are becoming entrenched – i.e. people expect inflation to be elevated for a longer period – is there evidence of this in trading activity? What evidence might we see? There are two potential signals: More trading activity in Inflation … Continue reading Are Inflation Expectations Becoming Entrenched? The Data.
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