A note via Fitch ratings analysts, Global Economic Outlook (GEO) (out Tuesday US time note)
A faster-than-expected global economic recovery is boosting prices as supply chains have struggled to keep up with rapidly expanding consumer durables demand and world merchandise trade.
However,
- slower growth,
- supply adjustments in bottleneck sectors,
- a switch back towards services consumption,
- and fading impacts from US fiscal stimulus
should see the rate of inflation decline in 2022
On the Federal Reserve and European Central Bank:
- We now expect the Fed to hike rates in 4Q23, one year earlier than our previous expectation.
- The ECB will not follow suit and will likely continue asset purchases through 2023 as eurozone inflation remains below target.
Here is the link to the note, there is plenty more there if you are interested
