This inflation shock finally goosed the ECB out of its reckless NIRP policies.
It wasn’t big hedge funds that blew up, but £1.5 trillion in leveraged pension funds. BoE stepped in to bail them out and prevent further contagion.
Bank of England: won’t “hesitate” to hike rates “as much as needed.” Bond market fears much higher inflation and interest rates, for much longer.
Storage above target, floating LNG import terminals going into service.
Recklessly late, it hiked a lot faster than forecasters even imagined a few months ago: 125 basis points in two meetings and promising more.
“Temporary” inflation is suddenly runaway inflation. But the negative-interest rate idiocy and QE are finally over.
Raging inflation ends an absurdity.
Raging inflation finally forces the ECB to abandon its reckless and absurd monetary policies and turn hawkish.
Raging inflation started mid-2021, but the ECB called it temporary. In June, it ranged from 6% to 22%!
US natural gas prices tripled from the 10-year average, now linked to global prices, with 7 LNG export terminals now operating and 15 more approved.