The ECB was in a slightly festive mood this week as officials nudged up their forecasts for economic growth and inflation. We think this is only partly justified as we are sceptical about President Lagarde’s claim that the increase in corporate sector investment “is largely attributable to the development of AI”. Meanwhile, the EU's decision to water down its commitment to end the sale of combustion engine cars will offer only limited respite for the region's auto sector.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services