The global economy has been confronted with two stagflationary events in the last two years: the Covid-19 pandemic and the war in Ukraine. What factors are influencing the uncertainty in the markets? Erste Asset Management Chief Economist Winzer analyzes which scenarios are conceivable in the future.
The US Federal Reserve is turning the interest rate screw hard and accelerating the exit from its ultra-expansive monetary policy. Will it get a grip on high inflation? And how will the economy cope with higher interest rates?
The EU Commission announced that certain activities involving nuclear power and natural gas will be included in the EU taxonomy. Small Modular Reactors are seen as an investment opportunity. How are energy suppliers and the financial sector dealing with this?
The financial markets started this week with high volatility. The US leading index S&P 500 suffered a loss of more than 2% since Monday, while the European index EuroStoxx 600 is almost 3% lower. What will we observe in the coming days?
A tight race is shaping up in the run-off election for the French presidency in a fortnight. What concerns both candidates is the preservation of purchasing power and the high prices for oil and natural gas. How will the financial markets react to the election result?
In the US, interest rate hikes to a level of 3% by the end of 2023 have become likely. When will the European Central Bank follow? Erste Asset Management Chief Economist Gerhard Winzer analyses the interest rate policies of the central banks.
The increased demand for semiconductors continues to cause supply bottlenecks. This is why the EU wants to boost Europe’s share of the global market in semiconductor production. In particular, computers and mobile phones as well as consumer electronics are in demand.
Within two years, the global economy has been confronted by two negative events or, indeed, shocks: the Covid pandemic was the first one, having not only killed six million people globally at this point, but having also caused an unprecedented slump in the global economy and the subsequent recovery. The second one, i.e. the invasion of Ukraine by Russia, is of a geopolitical nature and has triggered a commodity price shock.
Although volatility and uncertainty remain particularly high in the capital markets, there has been some stabilization and, most recently, a slight recovery in the equity markets since last week.
After the oil price climbed to its highest level since 2008 in the previous week, the countries want to end their dependence on Russian oil and natural gas supplies.
