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Inflation up, real rates down

By Brigitte TROQUIER


To fight against inflationist pressions, handling interest rates remains the preferred weapon of central bankers

The first breakthroughs on the health level will lead to a normalization of the economic situation. The degressivity of fiscal and monetary supports that will accompany this exit from the pandemic, adds an additional dose of pressure on balances and valuations maintained by low interest rates and tax or social supports that will gradually shrink.

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