General TradingI

Immaculate Disinflation

A scenario in which inflation declines to target levels without a significant rise in unemployment or a recession. It describes a rare and ideal outcome of monetary tightening by central banks.

Example

“For example, in 2023 some economists argued the U.S. was experiencing an immaculate disinflation as CPI fell from 9% toward 3% while unemployment remained near historic lows.”