The central banks want to achieve their long-term inflation target of 2%. In order to achieve this goal, they have raised key interest rates and are implementing a restrictive monetary policy. The higher key interest rates will weaken economic growth and also the labour market. Whether this can be achieved without a recession or whether there will be a “soft landing” is currently the subject of heated debate.
Article on tag "inflation"
Jackson Hole – Focus on Monetary Policy
This week, the highly acclaimed Jackson Hole Economic Symposium will take place. Fed Chairman Jerome Powell’s speech will be the center of attention.
Very tight labor market in the USA
Many economic indicators point to weakening economic momentum. Meanwhile, the US labor market continues to be very robust, which recently mitigated the immediate risks of recession in the United States.
The Euro – a Snapshot
For more than 20 years, the euro has been the instrument of payment for around 340 million people. What is the current state of our currency and what opportunities and challenges does the euro face?
Energy commodities and inflation – where are we going?
Prices for energy and food have risen significantly, putting a strain on consumers’ wallets. If the Russia-Ukraine war does not ease, the situation may deteriorate even further.
Recession Risks
Ahead of the upcoming interest rate decision by the Federal Reserve, a number of economic indicators point to increasing risks of growth or recession. There are also uncertainties regarding the further development of inflation and the effectiveness of monetary policy measures.
Mega interest rate hikes indirectly increase purchasing power
Gerhard Winzer, Chief Economist at Erste Asset Management, provides an overview of recent economic developments and explains, among other things, what structural problems the euro is facing.
Mixed outlook for the second half of the year
Ahead of the upcoming reporting season, several negative factors dominate the markets. Tamás Menyhárt, Senior Fund Manager at Erste Asset Management, sums up the stock market year so far and shares his views on the further development.
Fund savings plan: Why it pays off to persevere
The bears have gained the upper hand on the stock markets. How investors and savers can overcome this phase and why perseverance could pay off right now.
Central Banks Attempt to Prevent Inflationary Spiral
Since the beginning of the year, the bond markets have been in a bear market. What are the implications for the economy? Erste Asset Management Chief Economist Gerhard Winzer analyzes three models in relation to the development of inflation and their implications.