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Eurozone

  • DEBATE: Has the EU overstepped the mark by rejecting Italy’s budget?

    October 25, 2018

    Has the EU overstepped the mark by rejecting Italy’s budget? Matthew Elliott, senior political adviser to Shore Capital, says YES. From the moment Britain’s Brexit referendum was announced in 2013, the EU started to moderate its most overt interventionist instincts, minimising Eurozone problems through quantitative easing, and restricting its tendency to meddle in the affairs [...]

  • Italy claims its budget plans won’t hurt the EU’s financial wellbeing

    October 22, 2018

    Italy’s expansionary budget will not risk the EU’s financial health, the country claimed today as it seeks to counter Brussels’ criticism of its latest spending plans. Economy minister Giovanni Tria wrote to the European Commission to say that the public spending outlined in Italy’s budget are crucial in order to kick start economic growth in [...]

  • EU seeks to lessen tensions with Italy as the eurozone economy posts halting growth for third quarter

    October 19, 2018

    The EU hopes to reduce tensions with Italy over its inflammatory 2019 budget, according to European economics commissioner Pierre Moscovici. Saying no decision had yet been made about whether or not Italy's budget would pass muster with the European Commission, Moscovici told a news conference today that he wanted to “reduce tensions and maintain a [...]

  • Italy’s stock market sell-off could force its populist politicians to change course

    October 9, 2018

    The start of this week witnessed yet another spike in Italian bond yields, as the country’s coalition government continued to grapple with the details of its 2019 budget. Political leaders also struggled to deliver a consistent message to investors, who have grown increasingly concerned about the state’s future spending and borrowing plans. The depth of [...]

  • Italy fears subside as government reportedly plans to cut debt

    October 3, 2018

    Fears over Italy’s cost of borrowing eased this morning on reports that the country plans to slash debt by two per cent in 2021. The Italian government has estimated a budget deficit of 2.4 per cent of GDP for 2019, before cutting it to 2.2 per cent for 2020, according to publication Corriere della Sera. [...]

  • Italian borrowing costs rise to four-year high as Rome-Brussels confrontation looms

    October 2, 2018

    The cost of borrowing for the Italian sovereign rose to its highest since 2014 today amid investor fears of a face-off with the EU over the size of the deficit under the populist government’s spending plans. The yield on a 10-year sovereign bond, which moves inversely to prices, surged by more than 20 basis points [...]

  • What crisis? Eurozone growth revised up to 0.4 per cent in second quarter

    September 8, 2015

    Things didn't get quite as bad during the Greek crisis as everyone thought, it turns out, after Eurozone growth for the second quarter was revised upwards. Official statistics published this morning showed the bloc grew 0.4 per cent between April and June, up from the 0.3 per cent originally thought. At the time of the [...]

  • Blame lack of reform for Eurozone unemployment remaining so high

    September 3, 2015

    We received good news on European unemployment this week. The total number unemployed in the Eurozone and across the EU has continued to fall.    The Eurozone unemployment rate has dropped below 11 per cent for the first time since early 2012. And the overall EU jobless rate is down to 9.5 per cent, its [...]

  • Retail sales: Eurozone recovery looks set to last this time, but France lags behind

    September 3, 2015

    The Eurozone  looks set to finally break free from the doldrums of persistant stagnation with survey figures pointing to the strongest economic growth in the currency-bloc for four years. Markit’s composite purchasing managers’ index – which gauges business activity across all sectors of the economy – edged up to 54.3 in August, further in excess [...]

  • Eurozone unemployment drops to three-year low

    September 1, 2015

    Eurozone unemployment has fallen to a three-year low, surprising economists by dropping as low as 10.9 per cent in July. Unemployment figures were forecast to remain static at 11.1 per cent, but Eurozone recovery has given job growth a bigger push than expected, according to new figures released by statistics agency Eurostat today. Some 213,000 [...]

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