US consumers accept rising prices

Equity markets in North America have been heavily influenced by concerns over the three 'Is' - inflation, interest rates and international events, with the Middle East in particular capturing attention in the latter category as investors fret over the high oil price. However, although all three are significant, their impact on market sentiment appears to have been excessive. Inflation, for example, is becoming an issue and worries over its emergence have added to uncertainty among investors. But it is not necessarily negative for equities. More companies, particularly among household com...