Europe slips towards recession as ECB mulls steps ahead

President of the European Central Bank Christine Lagarde will not attend this week's Jackson Hole symposium but roughly half of the ECB's rate setters will make the trip. Photograph: Daniel Roland/AFP via Getty ImagesEuropeans returning from their summer breaks will find a more fragile economy that risks buckling under the threats of energy rationing, record inflation and tighter monetary policy.

Germany, Europe’s largest economy, has emerged as the region’s weak spot, with its large industrial base suffering disproportionately from surging energy costs and a persistent shortage of supplies. Meanwhile, services aren’t seeing the same kind of tourism boom that’s tiding over countries around the Mediterranean as vacation travel picks up post-Covid.

Data in the coming week will be key ingredients for discussions on where monetary policy is headed after the European Central Bank raised rates by half a point in July and signalled “further normalisation in September without pre-committing on the size. The ECB’s next meeting is less than three weeks away, and most policymakers have yet to express their preferences.

United Kingdom United Kingdom Latest News, United Kingdom United Kingdom Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Kingspan reports record revenue of €4.2 billion as profits rise by 32%Kingspan has reported record revenue of €4.2 billion in the six months to June 30, a 42 per cent increase year-on-year. The performance came in a “testing environment”, with lower order intake in quarter two, the company said.
Source: businessposthq - 🏆 8. / 71 Read more »