Another August of financial turbulence

Despite the apparent calm of recent days, the underlying elements of recent tensions in financial markets continue to cause concern for several reasons.

Key points

• Key points:
• Firstly, the problems are the result of an unusual combination of factors generating geopolitical uncertainty.
• Secondly, the negative impact of trade uncertainty on the economy is becoming increasingly evident.
• Thirdly, and by no means least importantly, doubts are growing as to the role of economic policies in addressing these shocks.

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