Danske Bank A/S : Inflation gaining slightly more traction

Price increases this year have been stronger than both Danske Bank's economists and other economists and investors expected - and that has fuelled inflation. In the US, too, fears of inflation have grown - and the focus has shifted to whether the rise in inflation is perhaps not a temporary phenomenon after all.

"Inflation has surged in the US, hitting a 30-year high of 6.2 per cent in October this year. Even after deducting the most price-volatile sectors, such as energy and food, inflation remains very high at 4.6 per cent. When the biggest and most important economy in the world is struck by high inflation, we also risk it spreading to other regions and countries, including Europe and Denmark," says Danske Bank's chief analyst Mikael Olai Milhøj.