The Next Moves for the ECB and the Fed

The video discusses the ECB's focus on underlying inflation, ignoring headline declines due to oil prices and airfares. It highlights the Fed's concern over US inflation trends and interest rate strategies, noting global inflation's link to energy prices. The Eurozone's employment growth, particularly in Spain and Germany, is examined, with a focus on the lack of corresponding inflation and wage growth.

What is the ECB's focus when considering inflation data?

• Supercore inflation

• Core inflation

• Oil price inflation

• Headline inflation

What has been a global factor affecting inflation according to the Fed?

• Government policies

• Interest rates

• Energy prices

• Unemployment rates

Why are some analysts hesitant to raise interest rates in the US?

• Inflation is below the target

• Inflation is unpredictable

• Inflation has been stable

• Inflation is above the target

What is one reason for the lack of wage growth in Spain despite declining unemployment?

• Strong labor unions

• Economic slack

• Government intervention

• High inflation

What is a potential reason for subdued wage growth in Germany?

• High inflation expectations

• Strong economic growth

• Unions not demanding high wage increases

• Government wage controls