Miscellaneous Quotes for Week to 19th May 2017

posted in: Notes | 0

The Swedish Central Bank 

They are considering a variable target for inflation

“The Riksbank is considering changing the target variable for the inflation target to the CPIF. As inflation will always vary around 2 per cent, a variation band of +/- 1 percentage point is being also considered to illustrate this uncertainty. The changes are expected to be able to be implemented at the monetary policy meeting in September 2017.”

 

“It’s a big deal as it means accounting policies will change for all contracts, and profits could be more volatile than today…More of the profit from a contract will be deferred over the contract period, which could mean increased volatility in earnings. Market reaction to this will depend on how companies manage the message to investors as a company’s fundamentals have not changed,”

 

G7/8 Finance Meeting Communiqué

Moderate global growth

“Global recovery is gaining momentum, yet growth remains moderate and GDP is still below potential in many countries, with the balance of risks tilted to the downside.”