Uncertainty around the economic outlook: Will it be a hard, soft or no landing at all?

Central banks have a role

It is reasonable to argue that the global economy is largely driven by the United States, China, and the European Union, considering that these three economic blocs accounted for nearly half of the world's gross domestic product before the pandemic.

Since the end of last year, all three have witnessed varying degrees of economic improvement, although this relatively improved global economic backdrop comes with a potential downside: even-stickier inflation. While China's inflation is still contained for now, the inflation picture in the US and Europe still looks challenging. Bank of England is running out of ideas to tackle inflation In the US, annual core inflation (excluding energy and food prices) has shown to be slow to fall meaningfully, only just reaching 4% in May. Europe meanwhile was only recently grappling with the...