Episode 1034: Think Tank: Falling chemical prices signal switch from inflation to deflation
Falling chemical prices could be a leading indicator of a switch from inflation to deflation in the broader economy. - Chemical industry leading indicator for wider economy- Spike in energy prices, supply chain disruption caused price hikes, inflation- Poor demand and excess supply could deflate prices- European industries introduce longer summer shutdowns - Central bank policies encouraged too much growth in industrial capacity- GLobal economy now governed by real, underlying supply and demand- Aging populations around the world drag on demand growth