Price concerns spark inflation activity

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Rocketing oil and food prices have reawakened concerns about rising consumer costs, causing greater numbers of investors to put on inflation hedges. Dealers report increased activity in inflation-linked bonds and swaps, and even caps and floors, as the likelihood of inflation rates creeping above central bank-imposed targets increases.The Bank of England, European Central Bank and US Federal Reserve have all expressed concerns about rising inflation in recent months. Despite cutting the fede