Max Castelli and Athanasios Orphanides discuss inflation expectations in the euro area and how these impact monetary policy thinking and market behaviour. Talking to Ellie Groves, Castelli, head of strategy, global sovereign markets at UBS Asset Management, and Orphanides, who is professor of the practice of global economics and management at the Massachusetts Institute of Technology’s Sloan School of Management, as well as former governor of the Central Bank of Cyprus and member of the European Central Bank governing council, contextualise inflation forecasts from the ECB and UBS. They explore what is in store for central bank reserves managers as they navigate investing in riskier assets and the biggest risks facing the financial community in 2022.
