A Framework That Provides Clarity

During periods of “low visibility,” confusion reigns: for every indication of one trend, there seems to be a countertrend. The key is to glean from the collective wisdom of reliable leading indicators a clear signal that the economy is headed for a turn.

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Nov 19 2013

The Path for Taiwanese Inflation

Taiwanese inflation rose in September, partly due to damages from a Typhoon that drove up vegetable prices. However, our analysis last month of key drivers of Taiwanese inflation led us to expect that Taiwanese inflation would stay weak. Sure enough, Taiwanese inflation for October was reported lower than the consensus had expected.

To understand if these recent movement are simply noise, or part of a more persistent cyclical change in the inflation outlook, it is important to monitor these drivers of Taiwanese inflation.

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