Business leaders left in limbo by rate hike impact lag

Although central banks in the United States and Europe have raised interest rates at the fastest pace in decades in an effort to tame inflation, most economies have so far escaped the painful recessions triggered by previous tightening cycles.

"The fact everyone is asking the question is interesting, there are those who are optimistic and others who are pessimistic," he added. The ECB raised interest rates to their highest level in 22 years last month and promised another hike this month, with possibly another in September. Additionally, labour markets are strong on both sides of the Atlantic and corporate profits have so far held up, while housing markets are generally cooling but not in a tailspin.

"I see quite a bit of optimism in the short term, but I see a lot of downside risks if there is a policy mistake, especially from the central banks," she added. "We can expect debt levels to be adjusted on a case by case basis without triggering a systemic crisis," said Barneix, who is also deputy finance director at French building materials group Saint-Gobain.

Nederland Laatste Nieuws, Nederland Headlines

Similar News:Je kunt ook nieuwsberichten lezen die vergelijkbaar zijn met deze die we uit andere nieuwsbronnen hebben verzameld.

Connecting Africa | CNN BusinessFor Connecting Africa, CNN profiles the people, projects and companies revolutionizing African business and bringing the continent together.
Bron: CNN - 🏆 4. / 95 Lees verder »

Significant gas leak at business takes hours to fix in Dauphin CountyUPDATE | Authorities have provided more information about a dangerous gas leak that called for multiple emrgency crews and UGiEmergency crews responded to a sma
Bron: CBS21NEWS - 🏆 304. / 63 Lees verder »

Business recovery center opens to help those hurt by I-95 shutdownThe SBA's business recovery center for those impacted by the I-95 collapse is now open. MiguelMValle has details.
Bron: NBCPhiladelphia - 🏆 569. / 51 Lees verder »

Police investigating newborn baby left at Plano businessStore employees said the father, who appeared to be a teenager, walked inside and asked for help for his girlfriend. The employees said they did what they had to do.
Bron: abc13houston - 🏆 255. / 63 Lees verder »