There are mixed signals for the global economy. Inflation is rising at a time of global slowdown.

The US economy is weakening while commodities soar. There may be both inflation and slow growth in the US, and maybe also in Europe, but both the growth and inflation pictures may look very different in emerging markets. From low levels, inflation has risen with strong upsurges in domestic demand in emerging markets. However, growth will continue to be robust, if slightly down.