BIS: the global economy at a 'turning point'
• The Bank for International Settlements (BIS) warns of a 'turning point' in the global economy due to:
• increased trade tensions,
• geopolitical instability,
• high levels of government debt,
• changes in inflation expectations after COVID
Central banks are warned to maintain a high level of vigilance regarding inflation.
BIS warns of the possibility of entrenching inflation expectations, and the Fed is prepared for strong reactions to heightened risks.
• In the coming days — the June report on employers in the USA (Non-farm payrolls), as well as PMI for Europe and the USA, and inflation data for the eurozone: this could determine the potential for further actions by Central Banks—both the Fed and the eurozone.