Eurizon Weekly 17 Feb. 2025. The mix of still solid macro data, positive corporate earnings, and an improving geopolitical picture on the prospect of talks beginning to end the war between Russia and Ukraine, supported the markets: in the week, government bond yields were stable and stock indices rose back, with Europe still emerging as the top-performing market since the beginning of the year. Therefore, the macro picture seems to be supportive of ongoing growth, and data confirm that the US cycle is normalising, avoiding an excessive overheating for the time being. As regards monetary policy, the strengthening of inflation implies the Fed staying on hold, also in waiting for greater clarity on the Trump administration’s future policies. Stefano Cucchi of the Eurizon Macro Research & Product Specialist team takes a closer look. Audio recorded on 17 Feb. 2025