Hou

Gas price shocks and euro area inflation

Retrieved on: 
Tuesday, February 13, 2024
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We document

Key Points: 
    • We document
      how gas price fluctuations have a heterogeneous pass-through to euro area prices
      depending on the underlying shock driving them.
    • How do gas price shocks feed through to euro area
      inflation, and is the pass-through shock-dependent?
    • We analyse the importance of gas price shocks
      for euro area inflation in two steps.
    • We identify three structural shocks driving European gas prices,
      inspired by the literature on oil but tailored to the European gas market: (i) a gas supply
      shock, which reduces the supply of natural gas to the European market, increases the
      gas price and lowers gas inventories; (ii) an economic activity shock, which lifts demand
      for gas due to higher economic production, and finally (iii) a shock to gas inventories,
      when gas prices are driven by precautionary demand by gas companies.
    • First, all three identified shocks are
      important drivers of gas price dynamics, but they differ in how persistently they push

      ECB Working Paper Series No 2905

      2

      up gas prices.

    • The effect on euro area HICP of a shock to gas supply is more
      persistent and somewhat higher than when gas prices are driven by economic activity
      shocks.
    • A final key finding is that the pass-through of gas market shocks to euro area inflation
      appears non-linear.
    • The unprecedented volatility of gas prices
      contributed to the inflation problem in the euro area, with the gas price shocks feeding
      through producer prices, wages and persistently lifting core inflation.
    • More expensive
      energy contributed substantially to the rise in inflation in Europe during 2022.2

      Figure 1: Gas price and euro area Harmonized Index of Consumer Prices.

    • How do gas price shocks feed through to euro area
      inflation, and is the pass-through shock-dependent?
    • For instance, about 75% of gas imports to the euro area arrives
      through pipelines, making gas imports difficult to substitute and gas markets subject to
      3

      See for example the evidence by Rubaszek and Uddin (2020) for the US economy.

    • We analyse the importance of gas price shocks for
      euro area inflation in two steps.
    • We identify three structural shocks driving European gas prices,
      inspired by the literature on oil but tailored to the European gas market: (i) a gas supply
      shock, which reduces the supply of natural gas to the European market, increases the
      gas price and lowers gas inventories; (ii) an economic activity shock, which lifts demand
      for gas due to higher economic production, and finally (iii) a shock to gas inventories,
      when gas prices are driven by precautionary demand by gas companies.
    • First, all three identified shocks are
      important drivers of gas price dynamics, but they differ in how persistently they push
      up gas prices.
    • But when gas prices are driven by
      inventory demand shocks, the price effect typically dies out within one quarter.
    • A final key finding is that the pass-through of gas market shocks to euro area inflation appears non-linear.
    • The unprecedented volatility of gas prices
      contributed to the inflation problem in the euro area, with the gas price shocks feeding
      through producer prices, wages and persistently lifting core inflation.
    • (2022) and Alessandri and Gazzani (2023) identify gas supply shocks using VAR models,
      finding that gas price shocks lead to persistent increases in headline inflation.14 Ba?bura
      et al.
    • (2023) find positive effects of gas price shocks on core inflation in a BVAR for
      the euro area that includes one type of gas shock along a longer list of macroeconomic
      shocks.
    • 3.1

      Data

      For the gas market BVAR model, we use gas quantities, gas prices, gas inventories and
      euro area industrial production, as displayed in Figure 2.

    • (2015) to optimize

      ECB Working Paper Series No 2905

      13

      the posterior distribution.16 The vector Y includes the European gas quantity proxy, gas
      inventories, the European gas price benchmark and euro area industrial production.

    • As demand for gas increases, the gas price also rises
      while inventories fall as agents use gas in storage to partially satisfy higher demand.
    • Shocks to gas
      quantities driven by gas supply or inventory shocks tend to revert to pre-shock levels after
      around five to seven months, while economic activity shocks lead to a more long-lived
      increase in gas demand.19 Dynamics in gas inventories are more similar across shocks.
    • 3.4

      Historical events in the European gas market

      Before analysing the transmission of the different types of gas shocks to euro area prices,
      we show how the model interprets the unprecedented gas price rise in 2022 in terms of
      driving factors, and compare it with previous historical episodes of heightened gas price
      volatility as a way of validating the model.

    • Inventory shocks play a
      slightly smaller role, accounting for 17% of gas quantity and 23% of gas price fluctuations
      while the residual component (i.e.
    • 4

      Pass-through of gas price shocks to consumer prices

      The pass-through of gas price shocks to inflation is likely to be multi-faceted.

    • We first consider four outcome variables y: the European gas price, euro area HICP,
      core HICP and energy HICP.
    • Third, depending on the driving factor, gas price increases can pass through to core
      inflation in the euro area.
    • The results underline that gas price shocks can have important implications for inflation in the euro area ? depending on the driving factor of higher gas prices.
    • Casoli, C., Manera, M., and Valenti, D. ?Energy shocks in the euro area: disentangling
      the pass-through from oil and gas prices to inflation?.

Chinese Culture and Entertainment Group Yuewen Expands Global Reach Through IP Awards

Retrieved on: 
Wednesday, February 7, 2024

Singapore, Singapore--(Newsfile Corp. - February 7, 2024) - On February 5th, the highly anticipated Yuewen Global IP Awards, which was grandly held in Singapore, made its debut broadcast on Tencent Video.

Key Points: 
  • Singapore, Singapore--(Newsfile Corp. - February 7, 2024) - On February 5th, the highly anticipated Yuewen Global IP Awards, which was grandly held in Singapore, made its debut broadcast on Tencent Video.
  • This marked a significant milestone for the prestigious awards ceremony as it expanded its reach beyond national borders, reflecting its ambition to establish a global presence.
  • Yuewen, Chinese Culture and Entertainment Group, mainly develops intellectual property (IP) based on online literature.
  • He is also the vice president of the platform and content group at global tech and entertainment titan Tencent, Yuewen's parent company.

Chinese Culture and Entertainment Group Yuewen Expands Global Reach Through IP Awards

Retrieved on: 
Tuesday, February 6, 2024

This marked a significant milestone for the prestigious awards ceremony as it expanded its reach beyond national borders, reflecting its ambition to establish a global presence.

Key Points: 
  • This marked a significant milestone for the prestigious awards ceremony as it expanded its reach beyond national borders, reflecting its ambition to establish a global presence.
  • Yuewen, Chinese Culture and Entertainment Group, mainly develops intellectual property (IP) based on online literature.
  • He is also the vice president of the platform and content group at global tech and entertainment titan Tencent, Yuewen’s parent company.
  • Yuewen has also partnered with creative teams from the US, the UK, India, Japan, and Singapore to develop original IP for the global market and apply the same business model used for Chinese IP.

Leading Vehicle Aftermarket Supplier, Multi Parts, Accelerates Growth in Heavy Duty Channel with Acquisition of American Chrome Company

Retrieved on: 
Tuesday, January 9, 2024

JUPITER, Fla., Jan. 9, 2024 /PRNewswire/ -- Multi Parts (MPS) proudly announces a significant milestone in its journey of expansion and innovation with the acquisition of American Chrome Company (ACC), solidifying its commitment to delivering unparalleled quality and service to suppliers of vehicle aftermarket parts and their leading brands.

Key Points: 
  • The acquisition of American Chrome Company (ACC) by Multi Parts (MPS) positions the brands for growth in the HD truck and trailer sectors.
  • JUPITER, Fla., Jan. 9, 2024 /PRNewswire/ -- Multi Parts (MPS) proudly announces a significant milestone in its journey of expansion and innovation with the acquisition of American Chrome Company (ACC) , solidifying its commitment to delivering unparalleled quality and service to suppliers of vehicle aftermarket parts and their leading brands.
  • Every ACC customer that I have spoken with has praised the culture of service and quality built by the Hou family.
  • – Brian Cohn
    Founded in 1983 by the Hou family, ACC began as a distributor of chrome wheel accessories for heavy-duty trucks.

Meet the New Five-Star Certified Monitors for Eye Comfort

Retrieved on: 
Thursday, January 4, 2024

AUSTIN, Texas, Jan. 4, 2024  /PRNewswire/ -- Raising the bar and becoming a CES 2024 Innovation Award Honoree, Dell Technologies is introducing the world's first 40-inch 5K monitor certified for five-star eye comfort,1 the Dell UltraSharp 40 Curved ThunderboltTM Hub Monitor (U4025QW). Marking nine years of being an industry leader in PC monitors2, Dell continues to push the boundaries of display innovation, bridging the gap for those who demand ultimate performance with the best technology and design.

Key Points: 
  • Cutting-edge UltraSharp monitors deliver the best screen performance, now with world's first 5K monitor with eye comfort certification.
  • As we continue to innovate to provide the best viewing experience, we have also partnered with TUV Rheinland® in enhancing eye wellness.
  • Dell's UltraSharp monitors are the first to have TUV Rheinland® five-star eye comfort certification , a new industry standard for eye comfort to help reduce signs of eye fatigue.
  • These monitors also meet the latest environmental standards such as EnergyStar® and TCO Certified Edge and are EPEAT® Gold9 registered.

TaiwanPlus Celebrates the 60th Anniversary of the Golden Horse Awards With "Golden Decades: Cinematic Masters of the Golden Horse Awards"

Retrieved on: 
Wednesday, December 13, 2023

TAIPEI, Dec. 13, 2023 /PRNewswire/ -- To celebrate the 60th anniversary of the Golden Horse Awards, TaiwanPlus presents "Golden Decades: Cinematic Masters of the Golden Horse Awards." This online film curation pays homage to Chinese-language cinema's history, with a focus on the influential 1960s, 70s, and 80s. Featuring eight classic films by renowned directors and filmmakers Li Han-hsiang, Lee Hsing, and Chen Kun-hou, the curation offers a captivating glimpse into Chinese-language cinema's richness across Taiwan, Hong Kong, and China, leaving a significant mark on the broader Asian film landscape.

Key Points: 
  • Lifetime Achievement Award Winner Chen Kun-hou, Li Han-hsiang, and Lee Hsing
    Available to Watch on TaiwanPlus Through May 17, 2024
    TAIPEI, Dec. 13, 2023 /PRNewswire/ -- To celebrate the 60th anniversary of the Golden Horse Awards, TaiwanPlus presents "Golden Decades: Cinematic Masters of the Golden Horse Awards."
  • The Golden Horse Awards , often regarded as Taiwan's counterpart to the Academy Awards, stands as one of the most esteemed awards shows in the Chinese-speaking film industry.
  • 'Golden Decades' aims to expand the global reach of the Golden Horse Awards, truly showcasing Chinese-language cinema's profound impact on diverse audiences and momentum in Asia.
  • "Golden Decades: Cinematic Masters of the Golden Horse Awards" is available to view now, free of charge, on TaiwanPlus' website.

Aligos Therapeutics Reports Recent Business Progress and Second Quarter 2023 Financial Results

Retrieved on: 
Thursday, August 3, 2023

SOUTH SAN FRANCISCO, Calif., Aug. 03, 2023 (GLOBE NEWSWIRE) -- Aligos Therapeutics, Inc. (Nasdaq: ALGS), a clinical stage biopharmaceutical company focused on developing novel therapeutics to address unmet medical needs in liver and viral diseases, today reported recent business progress and financial results for the second quarter 2023.

Key Points: 
  • SOUTH SAN FRANCISCO, Calif., Aug. 03, 2023 (GLOBE NEWSWIRE) -- Aligos Therapeutics, Inc. (Nasdaq: ALGS), a clinical stage biopharmaceutical company focused on developing novel therapeutics to address unmet medical needs in liver and viral diseases, today reported recent business progress and financial results for the second quarter 2023.
  • “We continue to make important progress in advancing our portfolio of drug candidates,” said Lawrence Blatt, Ph.D., MBA, Chairman & CEO of Aligos Therapeutics.
  • On July 31, 2023, Aligos Therapeutics, Inc. (the “Company”) and Janssen Biopharma, LLC (“Janssen”) filed a stipulation staying the case in their ongoing legal proceedings.
  • Cash, cash equivalents and investments totaled $90.8 million as of June 30, 2023, compared with $125.8 million as of December 31, 2022.

gammaCore (Non-Invasive Vagus Nerve Stimulation; nVNS) Improves Attention and Memory in Patients with Posttraumatic Stress Disorder (PTSD)

Retrieved on: 
Tuesday, July 25, 2023

PTSD is an extreme mental health condition associated with changes in multiple neurophysiological systems such as inflammation and the autonomic nervous system and contributing to deficits in memory.

Key Points: 
  • PTSD is an extreme mental health condition associated with changes in multiple neurophysiological systems such as inflammation and the autonomic nervous system and contributing to deficits in memory.
  • Many patients have limited or no response to currently available treatments for PTSD symptoms and associated cognitive dysfunction.
  • Vagus Nerve Stimulation (VNS) has been shown in preliminary studies to enhance function when paired with cognitive and motor tasks.
  • The study concluded the active group developed better attention and recall of paragraphs encoded with stimulation as well as for working memory tasks as compared to sham.

TSP 5-DAY DEADLINE ALERT: Hagens Berman, National Trial Attorneys, Encourages TuSimple Holdings (TSP) Investors with Significant Losses to Contact Firm’s Attorneys Before Jan. 9th Deadline in Securities Class Action

Retrieved on: 
Wednesday, January 4, 2023

SAN FRANCISCO, Jan. 04, 2023 (GLOBE NEWSWIRE) -- Hagens Berman urges TuSimple Holdings, Inc. (NASDAQ: TSP) investors who suffered significant losses to submit your losses now .

Key Points: 
  • SAN FRANCISCO, Jan. 04, 2023 (GLOBE NEWSWIRE) -- Hagens Berman urges TuSimple Holdings, Inc. (NASDAQ: TSP) investors who suffered significant losses to submit your losses now .
  • The action challenges TuSimple’s failure to disclose the Company and its most senior executives were improperly financing and transferring technology to a Chinese startup company.
  • According to WSJ, TuSimple was being investigated into whether it improperly financed and transferred technology to a Chinese startup.
  • “We’re focused on investors’ losses and proving TuSimple improperly shared its intellectual property,” said Reed Kathrein, the Hagens Berman partner leading the investigation.

TSP 10-DAY DEADLINE ALERT: Hagens Berman, National Trial Attorneys, Encourages TuSimple Holdings (TSP) Investors with Significant Losses to Contact Firm’s Attorneys Before Jan. 9th Deadline in Securities Class Action

Retrieved on: 
Friday, December 30, 2022

SAN FRANCISCO, Dec. 30, 2022 (GLOBE NEWSWIRE) -- Hagens Berman urges TuSimple Holdings, Inc. (NASDAQ: TSP) investors who suffered significant losses to submit your losses now .

Key Points: 
  • SAN FRANCISCO, Dec. 30, 2022 (GLOBE NEWSWIRE) -- Hagens Berman urges TuSimple Holdings, Inc. (NASDAQ: TSP) investors who suffered significant losses to submit your losses now .
  • The action challenges TuSimple’s failure to disclose the Company and its most senior executives were improperly financing and transferring technology to a Chinese startup company.
  • According to WSJ, TuSimple was being investigated into whether it improperly financed and transferred technology to a Chinese startup.
  • “We’re focused on investors’ losses and proving TuSimple improperly shared its intellectual property,” said Reed Kathrein, the Hagens Berman partner leading the investigation.