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Wednesday, 9 June 2021

Rising inflation a “time bomb,” says Deutsche Bank

Rising inflation could be a ticking “time bomb”: Deutsche Bank economists have warned of an impending global economic crisis starting 2023 due to the possible adverse effects of inflation, CNBC reports. The Fed’s plan to maintain its loose monetary policy stance amid higher inflation “could create a significant recession and set off a chain of financial distress around the world, particularly in emerging markets,” Deutsche’s chief economist, David Folkerts-Landau, though most on Wall Street second the Fed’s outlook that current inflationary pressures are only temporary.

Down

EGX30

9,963

-1.4% (YTD: -8.1%)

Up

USD (CBE)

Buy 15.62

Sell 15.72

Up

USD at CIB

Buy 15.62

Sell 15.72

None

Interest rates CBE

8.25% deposit

9.25% lending

Up

Tadawul

10,735

+0.1% (YTD: +23.5%)

Up

ADX

6,670

+0.4% (YTD: +32.2%)

Down

DFM

2,835

-0.1% (YTD: +13.8%)

None

S&P 500

4,227

-% (YTD: +12.5%)

Up

FTSE 100

7,095

+0.3% (YTD: +9.8%)

Up

Brent crude

USD 72.22

+1.0%

Up

Natural gas (Nymex)

USD 3.13

+0.1%

None

Gold

USD 1,894.20

-%

Down

BTC

USD 33,685

-1.8% (as of midnight)

The EGX30 fell 1.4% yesterday on turnover of EGP 1.7 bn (23.5% above the 90-day average). Regional investors were net buyers. The index is down 8.1% YTD.

In the green: Telecom Egypt (+10.7%), Madinet Nasr Housing & Development (+4.0%) and TMG Holding (+2.0%).

In the red: Pioneers Holding (-4.3%), Fawry (-4.0%) and CI Capital (-3.5%).

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

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