The interventionist calls of European socialism, which want the European Central Bank (ECB) to become a tool to destroy purchasing power and nationalize economies, threatens the currency’s position as a world reserve currency and its highly successful position, says Daniel Lacalle.
He warns against the ECB cutting interest rates, with no effect on the economy and increasing the risk of a larger problem – a market bubble and economic contraction. The consumer price index has declined due to base effects accounting for 85% of the decrease, but could adversely affect inflation in the coming months.
Central Banks Brought Excessive Inflation; Now They Bring Stagnation…
December 18, 2023
Article from Zero Hedge by Tyle Durden
Article Synopsis
