After almost four decades of price stability, inflation has recently approached historical highs. Initially driven by global energy and food price increases, the magnitude of the surge in inflation caught central banks and markets by surprise. Price pressures are now increasingly broadening to...

The new German government will have three fundamental policy issues to wrestle with: the war in Ukraine and European security, the future of global trade, and structural issues that hold back growth. Ukraine: If U.S. support wanes, Europe must stand ready. Trade: Trump's tariffs offer...

Nearly two years after the onset of the financial crises, many central banks have brought their policy interest rates down to, or close to zero. Various governments have seen their budget deficits soar. Both policies have affected exchange rates, partly through market expectations. With a...