Invest and GO!

Entertainment, travel and hobbies are getting more expensive every year, but it seems that consumers do not want to give them up completely. On the other hand, they are choosing more carefully where to invest their money. The term ,,funflation‘‘, which refers to rising prices for leisure activities, is thus returning to the financial vocabulary. While some are looking for cheaper hobbies, others find the money for a concert or a holiday. The willingness to spend may not only reflect a better financial situation, but also an effort to enjoy the present instead of saving for increasingly distant goals.

Gold is often bought as insurance against uncertainty, but recent weeks have shown that its price does not necessarily rise even during difficult periods. Expensive energy revived inflation concerns while also supporting expectations of further interest rate increases. Investors therefore began comparing their holdings of the precious metal more closely with the yields offered by bonds. The latest U.S. data brought partial relief, but the losses incurred so far were not erased, however.

German group Volkswagen was a symbol of the strength of the European automotive world for decades, but today it is facing pressure on several fronts. From its weakening position in China and the costly transition to electric vehicles to production in Europe that is larger than necessary. The problems have also affected what was once its most valuable asset, the Porsche brand. Management is therefore preparing extensive changes that will affect factories, jobs and the vehicle line-up itself. There is not much confidence to be seen on the stock market either, and after more than a decade Volkswagen is no longer part of one of Europe’s most important indices.