SNB President Jordan Sees Downside Risk in Italy

The transcript discusses the current economic risks, focusing on downside risks in Europe, particularly Italy, and the impact on financial markets. It explores the challenges central banks face in normalizing policies, especially between advanced economies and emerging markets, and the potential effects on capital flows and exchange rates. The discussion also covers the inflation outlook, noting a temporary rise due to oil prices but a decrease in long-term inflationary pressure, affecting monetary policy decisions. Finally, it highlights the importance of maintaining an autonomous monetary policy while considering international factors.

Discuss the implications of a lowered inflation forecast on monetary policy.

What role does international demand for exports play in shaping monetary policy decisions?