Investment Officer Luxembourg

Marc Peter Klein will join Deutsche Börse as Managing Director Group Compliance on 1 January 2023. 

The European Central Bank needs to review its special programmes that make available cheap money to banks in Europe in order to become more effective in fighting inflation, Banque de France governor François Villeroy de Galhau told central bankers at their meeting in Jackson Hole.

Central banks worldwide will need to face the fact that pressure on prices will remain high for the coming years and that inflation dynamics will continue to be clouded by uncertainty, Switzerland’s central bank chief has told his colleagues in Jackson Hole. The Swiss central bank also prides itself in working with a narrow mandate that is not influenced by political considerations.

“Walking the narrow path” is an expression among central bankers about striking a fragile balance between reining in inflation and not plunging the economy into the ravine. Friday showed how difficult that task has become. 

It was a huge shock. The 37.2 percent increase in German producer prices, or PPI, for July that the Statistisches Bundesamt announced last week. Not only was this the biggest price increase ever, it was also more than five percentage points higher than the consensus expected.

Moreover, this number came before reports of the 50 percent increase in German electricity prices so far in August. And so the question arises, should we be getting ready for a German inflation, or CPI, of over 10 percent?

In the last month, we have seen a sharp recovery in the stock market that most analysts (including myself) found surprising. Let us briefly go over the reasons for this boom. We see a number of them.

You may not have noticed it while on holiday this summer, but Italy is once again in crisis. Political risks make for an uncertain economic outlook. This week, we look at the top 5 bond funds with the highest exposure to the battered Italy debt markets.