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This Article is From May 02, 2022

End of Easy Money, Future Fed Hikes, Europe’s Outlook: Eco Day

End of Easy Money, Future Fed Hikes, Europe’s Outlook: Eco Day

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Welcome to Monday, Americas. Here's the latest news and analysis from Bloomberg Economics to help you start the day:

  • The global shift away from easy money is poised to accelerate as a pandemic bond-buying blitz by central banks swings into reverse. Meanwhile, IMF Deputy Managing Director Kenji Okamura warns inflation may turn out to be even faster than global central bankers currently anticipate
  • Jerome Powell doesn't like to bless bets in financial markets, but he could shift the needle this week on how high investors expect the Federal Reserve to raise interest rates to cool overheated prices
  • Confidence in the euro-area economy fell to the lowest in a year as the impact of the war in Ukraine drained overall sentiment from industry to consumers
  • China's stringent lockdowns to curb Covid-19 infections are taking a significant toll on the economy and roiling global supply chains, with President Xi Jinping under pressure to deliver on pledges to support growth
  • Still, Asia's factories did a better job in the past month than their European counterparts of weathering the impact on global supply chains of China's lockdowns and the conflict in Ukraine
  • Australian policy makers face a political challenge on whether to raise interest rates in the middle of a highly charged election campaign
  • Finally, here's what to look out for in the world economy this week

©2022 Bloomberg L.P.

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