Connect with us
https://tickernews.co/wp-content/uploads/2023/10/AmEx-Thought-Leaders.jpg

Money

Croations are worried the Euro is leading to higher prices

Published

on

The country adopted the euro as its offical currency on January 1

 
Croatians are complaining about steep price hikes after the country introduced the euro on January 1.

The situation has left the government and businesses at loggerheads with traders blaming inflation for the rises.

At this open-air market in Zagreb, people are on the hunt for the freshest produce and the lowest prices.

But since Croatia started using the euro at the beginning of the year – shoppers say prices have spiked, making that hunt a lot harder.

“We have all felt the price increases,” says one woman. “It’s certainly 30% more, for everything.”

This shopper says he’s felt it too – adding that he knows people looking for new jobs to cope.

When traders began to round prices from the local currency in January – most shot up.

The government has threatened sanctions unless they cut prices back again – but traders point the finger at inflation.

Igor Vujovic is the president of the country’s consumers’ association.

“We have been observing what’s happened from January 1, when we switched to the euro, and the prices have been going wild. Energy, oil, electricity and water prices didn’t change in the previous two months. We switched to the euro and the prices are still rising between 5 and 20 percent, I can say everyday in the last 10 days – it depends on the product.”

Over a two-week period, inspectors handed out fines totalling more than $250,000 and found about 40 percent of businesses hiked prices unjustifiably.

Critics say the government rushed to introduce the euro amid an energy crisis and high inflation.

Last year Croatia reported one of the highest inflation rates in the EU, with an annual rate of 10.8 percent.

But the government has long argued the euro will make Croatia’s economy stronger and make the country more resistant to external shocks. #trending #featured

Continue Reading

Money

Australian Treasurer and RBA chief clash over economy

Published

on

 

A rare dispute has emerged between Australia’s Treasurer Jim Chalmers and Reserve Bank Governor Michele Bullock over the nation’s economic trajectory.

Governor Bullock argues the economy remains overheated, even as growth data shows recent slowdowns.

Treasurer Chalmers, however, warns that sustained high interest rates are “smashing the economy.”

This debate is critical for Australians, as it will influence the future of interest rates and inflation.

Data shows a mixed economic picture: while inflation is down, it’s still above target, and the jobs market remains historically strong.

Ultimately, deciding who’s right may come down to theory and perspective on economic health.

Continue Reading

Money

Central bank expected to ease interest rates as election nears

Published

on

The Federal Reserve is expected to cut interest rates again this week, a move aimed at cooling inflation.

This quarter-point rate cut would bring the benchmark rate to about 4.6%, the second reduction this year.

Analysts expect that additional cuts could come in December, which would benefit borrowers by reducing loan costs.

If Trump were to win the election, economists say his proposals on trade and immigration could reignite inflation.

The Fed is balancing a strong economy and low unemployment with its inflation-calibrated rate cuts.

As Election Day approaches, all eyes are on both the Fed and the presidential race.

Continue Reading

Money

Big Tech pushes AI investments

Published

on

Tech giants like Microsoft and Meta are accelerating AI data center spending, with massive capital pouring into these projects.

Microsoft and Meta reported on Wednesday that AI investments are spiking their expenses, while Alphabet announced similar trends.

Amazon, due to report earnings shortly, is expected to mirror these projections, foreseeing further pressure on profit margins.

Wall Street is getting wary of the financial strain, as each company’s stock took a hit this week despite strong quarterly numbers.

Shares of Meta fell over 3%, and Microsoft saw a 6% drop, underscoring Wall Street’s jitters.

“It’s expensive to keep up with AI technology demands,” says GlobalData’s Beatriz Valle, emphasising a competitive race in AI capacity.

The high-stakes investments are starting to test investor patience in Big Tech’s ambitious AI journey.

Continue Reading

Trending Now