Investment outlook Q&A – inflation, interest rates, Russia & Ukraine, the risk of a share crash, house prices and other issues Key Points Inflation will likely slow later this year but remain well above pre-pandemic levels over the medium term. Wages growth is likely to pick up to 3% this year. A Russian invasion of Ukraine risks a short term hit to shares followed by recovery over the next 3 to 12 mths. Australian home …
Econosights: The impact of economic shocks on inflation Key points COVID-19 has caused a big change in consumer spending patterns. In developed countries, demand for goods has generally gone up but services demand has collapsed. Changes in demand along with some supply constraints have caused an increase in goods prices while prices for services have been weaker. Consumer inflation data uses consumer spending baskets from prior years to construct quarterly price changes. However, these …
