Eurozone: ECB said to have discussed €500bn quantitative easing programme January 9, 2015 European Central Bank (ECB) officials are said to have discussed a €500bn quantitative easing programme, which many hope will rescue the embattled Eurozone from its economic quagmire. If the programme is launched, it will involve the central bank buying up government debt rated BBB- or higher. Purchasing only investment-grade debt minimises the bank's exposure to [...]
Eurozone enters deflation giving Draghi upper hand January 7, 2015 THE EUROZONE has slipped into deflation as prices fell by 0.2 per cent year-on-year in December. It marks a significant fall from November when prices rose by 0.3 per cent, according to Europe’s official statistical office Eurostat. Economists have raised their expectations that the European Central Bank (ECB) will begin a large programme of asset [...]
Euro falls to nine-year low as investors eye ECB policy January 5, 2015 The euro tumbled to a nine-year low against the dollar this morning after the European Central Bank (ECB) hinted quantitative easing could be on the way and disputed reports Germany was preparing for a so-called "Grexit." The common currency slid to $1.1860 in pre-market trade, its lowest level since March 2006. It also pushed the [...]
Doveish Mario Draghi sends Euro tumbling to lowest level since 2010, as dollar rises January 2, 2015 The dollar index rose 0.6 per cent to 90.84 this morning, its highest level since 2006. The index, which measures how the dollar is performing against its trading partners, was nudged up as comments from European Central Bank (ECB) president Mario Draghi pushed the euro to a four-year low. Draghi hinted this morning [...]
ECB official Peter Praet hints at quantitative easing amid falling oil prices December 31, 2014 The European Central Bank's (ECB) chief economist has hinted quantitative easing could be on the way, as plunging oil prices threaten to derail price expectations in the embattled eurozone. Peter Praet told German Newspaper Boersen-Zeitung the glut in global oil supply meant inflation rates were likely to remain negative throughout "a substantial part of 2015", something [...]
ECB’s second round of cheap loans disappoint again December 11, 2014 The European Central Bank's (ECB) second round of cheap loans has disappointed again, piling pressure onto the central bank to step up its monetary stimulus measures. The 255 participating lenders took a total of just €129.84bn (£102.6bn) from the targeted longer-term refinancing operation (TLTRO), slightly below the €130bn or more that economists had predicted. This [...]
UK housing crash, Draghi quitting the ECB or “A-choco-lypse”? Here are Saxo Bank’s bonkers predictions for 2015 December 10, 2014 Could there be a UK housing market meltdown? Could Nigel Farage become deputy prime minister? Or worst of all, will there be an "a-choco-lypse"? These could be some of the most outrageous predictions you'll hear this year – or the best warning you ever had. Saxo Bank has just released its 10 scenarios for 2015 [...]
Eurozone GDP sluggish again as pressure builds on Draghi December 5, 2014 If Mario Draghi and the European Central Bank (ECB) left investors frustrated by failing to hint at plans for quantitative easing yesterday, that frustration will only grow as the latest Eurozone GDP figures, published today, again revealed the weakness in the single market. GDP growth for the third quarter was again weak, with quarterly growth [...]
FTSE drops over Draghi’s lack of stimulus news – London Report December 4, 2014 BRITAIN’S top equity index fell yesterday largely due to a drop in commodity stocks and disappointment at a lack of concrete, new economic stimulus measures from the European Central Bank (ECB). The blue chip FTSE 100 index closed down by 0.6 per cent, or 37.26 points, at 6,679.37 points. The ECB slashed its growth and [...]
As the ECB “steps up” stimulus plans, will it do enough to prevent a Eurozone recession? December 4, 2014 Azad Zangana, European economist at Schroders, says Yes. The 2015 outlook for the Eurozone is precarious. Governments are continuing with austerity, while business surveys suggest a downturn is on the horizon. Markets are demanding the European Central Bank (ECB) adds QE to the measures already being used. Despite German resistance, president Mario Draghi has stated [...]