Runaway Services Inflation in Euro Area Spikes to Record. Core CPI Stays Near Record. Energy-Price Plunge Pushes Down Overall CPI by Wolf Richter • Jul 31, 2023 • 70 Comments “The drivers of inflation are changing…. Domestic price pressures, including from rising wages and robust profit margins,” are increasingly important: ECB
After 2 Months of Relentless “Core CPI Has Peaked” in Euroland, Services CPI Spikes to Record, Core CPI Worsens by Wolf Richter • Jul 19, 2023 • 118 Comments All eyes are now on underlying inflation. Forget the collapsing energy prices that pushed down overall CPI.
US Dollar’s Status as Global Reserve Currency on Slow Long-Term Decline, but Not Going Down in a Straight Line by Wolf Richter • Jul 15, 2023 • 222 Comments An important thing to keep our eyes on these days.
Honey, the Dollar’s Collapsing Again: USD against Yen, Euro, Peso, Other Currencies amid Inflation, Rate Hikes, and QT (or Lack Thereof) by Wolf Richter • Jul 14, 2023 • 164 Comments In other words, after a spike, the dollar dropped back to the higher end of the normal 20-year range. But the yen is a sloppy mess.
ECB Balance Sheet Plunged by €1.6 Trillion (-18%) from Peak. Bond Roll-Off Speeds Up by Wolf Richter • Jul 5, 2023 • 85 Comments Spooked by relentlessly raging inflation in services, ECB puts QT into higher gear.
Despite Banking Turmoil, ECB Accelerates QT plus Hikes by 25 Basis Points. Balance Sheet Plunged by €1.12 Trillion so Far by Wolf Richter • May 4, 2023 • 36 Comments “We’re not pausing, that’s very clear,” Lagarde said. “We know we have more ground to cover.”
Just in Time for ECB Rate-Hike Meeting: Eurozone Services Inflation Spikes to New Record. Overall Inflation Re-Accelerates by Wolf Richter • May 2, 2023 • 87 Comments These nasty surprises just keep coming when inflation is broadly entrenched in the economy.
Defying Pivot-Mongers, ECB Hikes by 50 Basis Points, QT Continues, Explains Tools to Calm a Bank Panic while Fighting Inflation Simultaneously by Wolf Richter • Mar 16, 2023 • 129 Comments A hugely important concept: “There is no trade-off between price stability and financial stability.”
ECB Balance Sheet Drops by €1 Trillion from Peak: QT Milestone by Wolf Richter • Mar 7, 2023 • 92 Comments Step 1 of QT is operating at full speed. Step 2 of QT is just starting.
Inflation Dishes Up Another Nasty Surprise: Eurozone Core CPI without Energy Spikes to Record, Services CPI Spikes to Record by Wolf Richter • Mar 2, 2023 • 102 Comments What it looks like when inflation gets deeply entrenched in the broad economy, even as energy inflation backs off.
