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Economics

The Fed's inflation and asset price conundrum

Low levels of inflation and declining inflation expectations justifies the Fed's softly-softly approach towards policy normalisation. But the same softly-softly approach is blowing more hot air into asset markets.

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Read more: TED,  CPI,  NAIRU,  PCE,  Chair Janet Yellen,  IMF,  John Maynard Keynes,  LIBOR,  OECD,  Oxford Economics,  Treasury Inflation-Protected Securities,  US Federal Reserve,  VIX