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Daniel Lacalle, chief economist and investment manager at Tressis Gestion, states that ample liquidity is currently masking underlying economic stresses.
He also highlights that Europe is facing an energy crisis due to inadequate preparation and notes that the fastest money supply growth since 2021 is having an impact on asset prices.
Lacalle has previously warned that tightening monetary policy by central banks may not address the main drivers of inflation. He has also observed that Israel's economy and financial markets have remained strong despite ongoing conflict in the Middle East. His recent comments extend his focus to liquidity conditions and energy concerns in Europe.