Beating inflation

Rising oil and commodity prices are not enough to convince investors that inflation is about to resurface with any strength. While the long-term rise in demand from India and China, coupled with limited supply is acknowledged as a concern, short-term investors are relying on the deflationary effects of globalisation to protect them from rising prices The UK Government inflation numbers are presently forecasting 2.8% for 2006. The oil price is presently around $63 (£33) a barrel compared to $27 (£14) in October 2003. Bill Blevins, managing director at intermediary firm Blevins Frank, s...