Prices are rising, but not fast enough to prompt the central bank to raise interest rates. Inflation will pick up slowly toward the end of the year.

I expect consumer spending to continue to improve. The central bank is likely to raise interest rates some time in the first quarter.

The negative impact of high international oil prices was big in August. We can still expect a recovery in spending in the second half.

If you are anticipating higher inflation and a rise in interest rates, it will slow down demand for resources.

The Fed will be concerned about inflation pressures building and will keep on hiking interest rates. Yields will have to continue to adjust to that.

Fresh worries about rising inflation in the US and the extent to which the US Federal Reserve will raise interest rates are weighing down the market heavily.