 Macro Digest: Inflation Pressures from All Fronts Friday, May 15 — Key morning figures: Japan: Producer prices surged 4.9% YoY — a 3-year high. Forecast was 3%. Inflationary pressure on the export-driven economy is mounting. South Korea: Export prices +40.8% YoY — a record since 1998. The Asian manufacturing giant is passing costs onto buyers. WTI crude oil — above $101/barrel, +7% for the week. Diplomacy on the US-Iran conflict stalls, with the market pricing in supply disruption risks. Gold — $4,650/ounce, poised for a decline. Accelerating US inflation weighs: the market awaits hawkish signals from the Fed. New Zealand: PMI 50.5 — a 7-month low. The manufacturing sector is on the brink of stagnation. Key takeaway: Inflation is no longer an "American story" — Japan, Korea, and commodity markets are simultaneously showing price pressure. The Fed is in a trap: inflation is accelerating, but raising rates is risky amid slowing growth in Asia. Watch oil — the main trigger of the week.