Thus while the recovery in the US is good news for emerging markets in that this breaks the synchronised downturn in advanced economies and that a growing US economy is critical to global recovery, it does have implications for emerging market financial markets.
The Bank will closely monitor how these risks of globally prolonged supply-side constraints and deceleration in the Chinese economy will affect global financial markets and Japan's economy. II. Price Developments Let me move on to current developments in prices and the outlook for them.