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Stagnation problem is worse than it looks for Berlin
Diego Faßnacht argues that Germany’s weak economic performance has been masked by inherited wealth, rising government spending and demographic trends that temporarily cushion the effects of stagnation. These buffers are concealing deeper structural problems that could become far more visible once they are exhausted.
Japan’s yen defense runs up against financial limits
Scott Foster examines Japan’s struggle to defend the yen amid rising energy costs, growing fiscal burdens and continued Middle East disruption. With currency intervention proving costly and oil risks mounting, Tokyo faces difficult choices between supporting growth, containing inflation and preserving financial stability.
Ukraine’s drone war fuels Russian calls for escalation
James Davis reports that Ukrainian long-range drone strikes are strengthening Russia’s hardline “party of war,” which argues that Moscow should abandon restraint and adopt a more aggressive strategy against Ukraine and its Western backers. As battlefield fighting grinds on, risks of broader escalation continue to grow.
