
AI-generated summary
Inflation in the euro area reached 3.3%, marking the highest levels in the last three years. Economic growth in the fourth quarter was 0.6%.
The off-scale summer temperatures, the war in the Middle East and the one in Ukraine where there is no sign of a truce, the continuing clash over duties: these are the reasons why the markets have raised their bet on what will be the ECB's response to the inflation scenario to four further rate increases by 2027.
The swaps price around 90 basis points of overall monetary tightening by December 2027, with the deposit rate rising to 3.25% from 2.25% currently. Same bet on the Bank of England, which would rise to 4.75%.
The market takes the ECB's quarter-point tightening tomorrow as virtually accepted. Euro area inflation at 3.3% hit a three-year high and growth, at 0.6% in the fourth quarter, is at the strongest level since the second quarter of 2022.
AI outlook — possibilities, not facts
Monetary tightening of 25 basis points by the ECB.
Likely · Within days

The CEO of Autostrade per l'Italia, Arrigo Giana, hopes for an interconnected infrastructure system to improve national competitiveness. During an event in Rome, he highlighted the central role of the road network and the importance of the MIT Observatory.

Fiom's Auto manager, Samuele Lodi, asks the government to restore the Automotive Fund and greater investments from Stellantis to relaunch production in Italy, criticizing the current industrial plan and asking for protections for Iveco workers.

Undersecretary of Labor Claudio Durigon proposes to extend the flexible retirement age to 64 years for workers in the mixed system, with 80 thousand more pensions and a cost of 1.5 billion per year.

The board of directors of EssilorLuxottica expressed full confidence in the president and CEO Francesco Milleri and in the deputy Paul du Saillant, confirming the long-term strategy and commitment to the stability of the group.

European stock markets close in negative due to growing tensions between the US and Iran. Brent exceeds 100 dollars a barrel and gas reaches three-year highs. Banking and luxury stocks are down, while the oil sectors are growing.

Due to the extreme heat which accelerated the ripening of the grapes, the Champagne Committee raised the alcohol limit to 15%. In Italy, Veneto has instead reduced the minimum threshold for Prosecco to safeguard the acidic freshness of the product.