The positive momentum on markets last week gave way to further uncertainty in recent days, with some of the recent gains unwound over the course of this week.
With countries bracing for a larger lasting shock, policymakers have begun to lay out fiscal supports to offset some of the shock.
However, as we have stated previously, wider fiscal deficits will limit the ability of EU governments to provide the level of support seen following the war in Ukraine in 2022.
However, as the Fiscal Advisory Council has pointed out, these surpluses are expected to dwindle towards 2030, with the Government planning to save just €1 out of every €6 collected in corporation tax.
