👻 German Inflation: A 2.2% rise, mainly driven by base effects, as last year’s falling prices drop out of the calculation.

Sentiment: Both consumer and business confidence remain weak. Economic uncertainty reaches new heights in GER.

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4/4: Optimistic Scenarios: With increased immigration or birth rates, insurance premiums could increase by 15%. One possible (personal) conclusion: Considering the challenges, fostering a culture of welcome and inclusivity in Germany is crucial. #justsaying.

3/4: Policy Measures Could Help: Tying retirement age to life expectancy could lessen the decline to 3%. People would have income for a longer period, boosting private pensions.

2/4: Slight Decline in Life Insurances: The shrinking workforce leads to a 5% drop in life insurance premiums. Fewer workers mean less private provisioning, especially in capital-building policies.

1/4: Boom in Health and Care Insurances: With the elderly population increasing, there's a 60% surge expected in health and care insurances, reaching 50 billion euros by 2040.

Conclusion: Global economic landscape remains uncertain. Divergent paths between US and Eurozone pose challenges for central banks, financial markets, and currencies.  Stay tuned by subscribing to our economic research newsletter here www.gdv.de/gdv/service/gdv-newsletter 6/6

Currency Exchange Rates: Euro weakens against the dollar due to conflicting economic signals and policy uncertainties. Structural challenges and global uncertainties reflect in the euro's depreciation, impacting trade dynamics despite ECB efforts. 5/6

Interest Rates: ECB grapples with inflation concerns amidst a weakening economy. US Federal Reserve maintains stability but adjusts expectations due to economic strength. Market dynamics shift as interest rate differentials grow, impacting currencies and trade balances. 4/6

Financial Markets: Central banks navigate turbulent waters. ECB faces challenges due to declining inflation and economic slowdown. Rising US yields affect global bonds. Stock markets, once resilient, face challenges as investors reassess amid higher interest rates. 3/6

Eurozone Inflation & Growth: Eurozone experiences muted growth, reflected in lowered GDP forecasts. ECB faces a dilemma with declining inflation rates, complicating monetary policies. Germany, especially, struggles with weak consumer spending and high-interest rates, impacting economic recovery. 2/6

Moin.