Head of the BIS says the low inflation era may be over

Agustín Carstens is the general manager of the Bank for International Settlements. Report via the Wall Street Journal (gated)

• We may be on the cusp of a new inflationary era
• The forces behind high inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term could persist for some time. New pressures are emerging, not least from labor markets, as workers look to make up for inflation-induced reductions in real income
• some of the structural disinflationary winds that have blown so intensely in recent decades may also be waning
• In particular, there are signs that globalization may be retreating

DM central banks are grappling with rapidly rising inflation already.

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Carstens was speaking at the International Center for Monetary and Banking Studies on Tuesday

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The Bank for International Settlements:

• is an international financial institution owned by central banks that "fosters international monetary and financial cooperation and serves as a bank for central banks".