As the global economy emerges from the worst of the pandemic, strong growth is back—and so is inflation. Higher commodity prices are creating stress in all economies, developed and emerging. Oil prices reached $75 per barrel due to rising demand. Food-price inflation reached its highest level since 2011. In the United States, consumer inflation reached 5% in May. US investors are factoring all this into their expectations.
To read the article, see “Global Economics Intelligence executive summary, June 2021,” July 19, 2021.