Category: Markets

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The Deflation Shock: Geopolitical Ramifications of the Global Commodity Price Drop

Deflation driven by loss of global demand like this is not easy to combat, as the Chinese are now realising. For commodity prices to be where they are now, it is clear that the world as led by China is suffering a slump in demand, which suggests that economic growth is much lower than the world’s stock markets are trying to reflect.