From Finance Yahoo News, Pakistan recently upped their central bank rate to 9.75 percent which represents a 100 basis point increase.
Rising inflation is hitting the country’s sizeable poor and middle classes, as prices for essentials such as food and fuel climb ahead of the cooler winter months. The bank revised its inflation forecasts for this fiscal year to 9-11% from 7-9% previously.
Finance Yahoo
Do you know who Pakistan’s top trading partner might be? The list might surprise you and in any event, it is another up tick in the growing problem of global inflation.
Also from Finance Yahoo, Wholesale prices up 9.6 percent over from a year ago. Tomorrow’s Federal Reserve Open Market Committee might set the tone for what will happen next year. If interest rates are raised then the stock market may begin to correct to normalized levels. If the Fed does nothing then inflation may continue to spiral out of control like a hurricane causing devastation along a wide path.
The best advice for now is to build a defensive stock portfolio and generate additional income to help cover those increased costs for nearly everything.