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European Central Bank's Lagarde says China's Covid reopening will push inflation higher
China’s decision to reopen its economy will increase inflation in Europe as they both compete for more energy, the president of the European Central Bank said Friday. There has been extensive debate this week at the World Economic Forum in Davos, Switzerland, about whether Beijing’s decision to end its zero-Covid policy will bring more or less inflation. On the one hand, some argue that because supply chains are being restored then the reopening might ease some of the inflationary pressures that Europe has faced in recent months. On the other hand, others note that China will be consuming more energy and this ... (full story)