#dWP-VW.THINKTANK I Q4/2025

S&P Global Ratings predicts an increase in foreign-currency debt defaults among sovereign issuers over the next decade, driven by significantly higher debt levels and increased borrowing costs on hard currency obligations.

Cracks are finally appearing in the euro zone’s labor market after years of unexpected resilience — spurring the European Central Bank to lower interest rates more speedily.

Goldman Sachs Group Inc. upgraded its forecasts for China’s economic growth in 2024 and 2025 after Beijing unveiled a series of measures to shore up growth, including plans for greater public spending announced over the weekend.

Germany is suffering a mild recession and output across the whole of 2024 will be flat, according to a Bloomberg survey — underscoring the malaise in Europe’s largest economy.

Germany is suffering a mild recession and output across the whole of 2024 will be flat, according to a Bloomberg survey — underscoring the malaise in Europe’s largest economy.

The economic challenges that are dragging down the European economy have been building up for years but officials have been slow to catch on.

China’s highly anticipated Finance Ministry briefing on Saturday lacked the firepower that equity investors had hoped for, indicating that the volatility that’s gripped the market following a world-beating rally will likely extend.

Chinese Premier Li Qiang vowed to “listen to the voice of the market” when formulating economic policies, in a rare nod to the concerns of the private sector and investors as Beijing seeks to shore up confidence and stabilize growth.

The European Union’s decision to impose tariffs on Chinese electric vehicles has moved the focus to how and when Beijing will retaliate for the escalation in its biggest trade dispute with the bloc in years.

Russia is proposing changes to cross-border payments conducted among BRICS countries aimed at circumventing the global financial system, as the heavily penalized country seeks to sanctions-proof its own economy.

Investors and analysts are expecting China to deploy as much as 2 trillion yuan ($283 billion) in fresh fiscal stimulus as Beijing seeks to shore up the world’s second-biggest economy and boost confidence.

Federal Reserve Bank of Chicago President Austan Goolsbee said he doesn’t see convincing evidence that the economy is overheating despite a gangbusters September jobs report.

The European Central Bank will speed up interest-rate cuts over the months ahead to bolster the economy — taking borrowing costs to levels that no longer restrict demand by the end of 2025, according to a Bloomberg survey.

European Central Bank officials were keen to maintain flexibility on the speed of interest-rate reductions with inflation not fully defeated and risks to the euro-zone economy building, an account of their last policy decision showed.

Three Federal Reserve policymakers on Thursday were unfazed by a higher-than-forecast September inflation report, suggesting the US central bank can continue lowering interest rates, but a fourth hinted he may favor a pause at their next meeting.

China has asked its financial institutions to beef up monitoring of the nation’s wealth management products, people familiar with the matter said, after investors pulled some $149 billion to chase a rally in stocks.

Underlying US inflation rose more than forecast in September, representing a pause in the recent progress toward moderating price pressures.

Federal Reserve Chair Jerome Powell is unlikely to win another big interest-rate cut from his policy committee so long as the labor market holds up.

Wages offered to new hires in China declined after two straight quarters of gains, in a sign of a weakening labor market that’s exacerbating persisting deflation and weighing on economic growth.

Economists anticipate that key measures of inflation decelerated in September, in spite of price pressures in some categories of goods including used cars.

China’s central bank has set up a swap facility to provide liquidity to institutional investors to buy stocks, part of a broad stimulus package announced earlier that ignited a rally in equities.

„Die aktuelle Budgetsituation ist echt nicht leicht“, hat Fiskalrat-Präsident Christoph Badelt am Mittwoch die Ausgangslage für die künftige Regierung zusammengefasst. In einer Pressekonferenz forderte er gemeinsam mit dem Zentrum für Verwaltungsforschung (KDZ) und dem Wirtschaftsforschungsinstitut (WIFO) rasche Systemreformen. Erneut wurden Zweifel an der Sinnhaftigkeit des Klimabonus für alle laut.

The European Central Bank will very probably lower interest rates next week and will loosen monetary policy again at future meetings depending on progress combating price rises, Governing Council member Francois Villeroy de Galhau said.

European Central Bank Governing Council member Peter Kazimir offered the only real resistance so far to a third cut of the year in interest rates next week — despite that outcome looking more and more assured.

The German economy is likely to experience another year of contraction with the US election posing an additional risk to Europe’s growth, according to Bundesbank President Joachim Nagel.

China said it would hold a briefing on fiscal policy on Saturday as investors look for additional measures to stimulate the world’s No. 2 economy.

Federal Reserve Vice Chair Philip Jefferson said risks to the central bank’s employment and inflation goals are now closer to equal.