There’s Still A Real Risk We’ll Careen Into Deflation And Turn Japanese

First, a tale of dueling headlines:

WSJ: Flat prices bode well for economy

FT: Prices fall in spite of stimulus measures

The FT gets this right: falling inflation is a worrying sign, not good news.

Continue reading at the NYT »

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See Also:

• Morgan Stanley: U.S. Stocks Outperform When The Dollar Rises And Europe Falls
• Inflation Expectations Keep Rising, Now Back To Pre-Crisis Levels