On June 6, 2024, the European Central Bank (ECB) began its rate-cutting phase after nine months on hold. The main reason for this decision was the Governing Council's assessment that the inflation outlook had improved significantly. In addition, underlying inflation had moderated, further indicating that price pressures were diminishing. As a result, inflation expectations across all time horizons had also declined. This accumulation of positive signs gave the ECB the confidence to start lowering interest rates.

Very soon, Germany will be holding federal elections. The fact that elections are being held is routine; however, the elections themselves are anything but. Not only is this only the second time since the fall of the Berlin Wall that early elections have been held in Germany, but Germany’s fundamental economic model also requires a radical reshaping.

On January 23, Italian utility A2A made history by issuing a EUR 500 million bond, marking the first-ever European Green Bond (EuGB). Fully aligned with the EU Taxonomy, the bond will finance projects in renewable energy, grid infrastructure, energy efficiency, and waste management. With a final order book exceeding EUR 2.2 billion and no new issue premium, its strong secondary market performance underscores robust investor demand.