There are some signs of the economy moving out of deflation with the year-on-year rate of change in the consumer price index (CPI) for all items less fresh food, or the core CPI, turning positive at 0.4 percent in June and 0.7 percent in July.
Given the amount of global media attention being paid to QQE, it appears that its content is becoming increasingly familiar to many experts and market participants. For this reason, I would rather talk today about QQE from a somewhat different perspective, namely from the standpoint of “forward guidance” – a topic that has been hotly debated globally in recent years.