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1 Inflation: What Can We Expect Next?

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GoldBroker

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Inflation... that hidden tax that's still very much with us. Since 2022 and the post-Covid economic recovery, rising prices have weighed heavily on household purchasing power. After successive interest rate hikes, prices finally seem to be slowing down, but there are still many uncertainties. So can we look forward to a return to normal, or should we expect a new economic reality marked by high inflation? In Western countries, price rises remain high overall: in the USA, they are now expected to reach 2.5% by the end of 2024, in the UK 2.6% after falling back below 2% (due to higher energy prices), while in Europe they have also risen above the 2% target. However, most analysts expect inflation to strengthen over the longer term. Inflation is expected to exceed 2% by 2025 in all these advanced zones, and should not fall below the sacrosanct target by 2027. In the UK, for example, the Office for Budget Responsibility (OBR) forecasts average inflation of 2.5% in 2024...

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