Trump 2.0: The First 100 Days | EMEA

Inflation Expectations Euro Area Inflation Expectations Holding Steady So Far in 2025

Impact on CRE

• Unlike in the U.S., inflation expectations in Europe have remained largely stable during the first 100 days of President Trump’s term. • According to the ECB’s Consumer Expectations Survey, as of February 2025, the median household expects inflation to rise by 2.6% over the next 12 months. • Inflation expectations remain relatively well-anchored—an important factor for central bank policy. As long as expectations stay within a reasonable range, long-term bond yields are likely to remain at levels supportive of CRE transactions. This will be a key indicator to monitor in the months ahead.

12

10

8

6

4

2

0

Oct-2020

Oct-2021

Oct-2022

Oct-2023

Oct-2024

Apr-2020

Apr-2021

Apr-2022

Apr-2023

Apr-2024

Jun-2020

Jun-2021

Jun-2022

Jun-2023 3YR Ahead

Jun-2024

Feb-2021

Feb-2022

Feb-2023

Feb-2024

Feb-2025

Dec-2020

Dec-2021

Dec-2022

Dec-2023

Dec-2024

Aug-2020

Aug-2021

Aug-2022

Aug-2023

Aug-2024

Previous 1YR 1YR Ahead

Source: European Central Bank

CONTENTS

Cushman & Wakefield