personally i believe that the effect will be highest in the
short term when Japans industries closes - the demand for copper
and oil will decrease, which may turn out to be good for inflation.
i really don't believe that the fed will take any decisions based
on the tragic earthquake in Japan, but the decreased
inflation is good for Fed if they chooses take a new round with
QE.
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true - but 2
Japan - Kobie earthquake 1995
Posted by lebow on 14th of Mar 2011 at 12:53 pm
ok, thats also correct
personally i believe that the effect will be highest in the short term when Japans industries closes - the demand for copper and oil will decrease, which may turn out to be good for inflation. i really don't believe that the fed will take any decisions based on the tragic earthquake in Japan, but the decreased inflation is good for Fed if they chooses take a new round with QE.