What's going on?

Global inflation might just have peaked, according to reports out over the weekend.

What does this mean?

The world�s had too many unwanted records lately. After global inflation hit a new high of 12.1% back in October, the only new records we want now are the ones emerging from this year�s World Cup. Looks like there�s hope things are turning around, too: right on cue, Messi�s started setting records in Qatar, and there are signs inflation�s about to run out of steam. See, a number of closely-watched global metrics � like commodity prices, shipping rates, and inflation expectations � have begun to ease from their record highs. That�s supported by data from Capital Economics, showing that inflation�s peaked across emerging markets � while price pressures in developing economies are cooling down too. No wonder, then, some economists are predicting an end to global inflation�s record-setting streak.

Why should I care?

The bigger picture: Hold your horses.
Central banks have been doing their darndest to get inflation under control these past few months, but this news won�t have them cracking out the champagne just yet. After all, there�s still a long way to go before we hit the 2% target rate set by most advanced economies. And let�s not forget that energy costs are still a sore spot: the war in Ukraine has got supply on a knife-edge, and Chinese demand could send prices skyward if the country�s economy comes back roaring. So sure, things might not be getting any worse right now � but high inflation isn�t going to disappear overnight.

Zooming out: Christmas came early.
Lingering high prices didn�t seem to daunt US shoppers over the holiday weekend, with data from Adobe Analytics showing that they set an online-spending record of over $9 billion this Black Friday. And on reflection, it makes sense: this could’ve been shoppers� last chance to buy gifts at a discount before Christmas rolls around.