Markets

ECB LEAVES RATES UNCHANGED

As expected, the ECB elected to leave the benchmark euro area refinancing rate unchanged in December at 0.25%, and the deposit rate unchanged at 0%. Last month, following the central bank’s November governing council meeting, the ECB surprised market participants by cutting the rate from 0.50%. ECB president Mario Draghi […]
ECB LEAVES RATES UNCHANGED
Markets

ANALYST: This Is What ‘Central Bank Anarchy’ Looks Like

Here are some acerbic comments from SocGen FX strategist Kit Juckes on the current world of “Central Bank Anarchy” as he puts it in an email to clients. Once upon a time, we had a whole array of rules to help think about monetary policy -the Phillips curve, NAIRU, the […]
ANALYST: This Is What ‘Central Bank Anarchy’ Looks Like
Markets

The ECB May Finally Cut Rates — Here’s What You Need To Know

For the first time in a while, people are talking about a European Central Bank policy decision. The consensus forecast on Wall Street is that the ECB will maintain its benchmark refinancing rate at 0.50%, where it’s been since May. Yet with a persistently appreciating euro and the release of […]
The ECB May Finally Cut Rates —  Here’s What You Need To Know
Markets

ECB LEAVES RATES UNCHANGED

As expected, the European Central Bank’s board of governors elected to leave the key benchmark refinancing rate unchanged at 0.50% and the deposit facility rate on hold at 0.0% at the conclusion of its October policy meeting. ECB President Mario Draghi will hold his monthly press conference and Q&A at […]
ECB LEAVES RATES UNCHANGED
Markets

ECB’s Draghi: Risks Remain To The Downside

ECB President Mario Draghi is giving a live press conferenceright now, reiterating that the central bank’s monetary stance is “geared toward” accommodation. The ECB will keep rates at their record lows for an extended period as the Euro area begins to recover, he said. Draghi said that confidence indicators confirmed […]
ECB’s Draghi: Risks Remain To The Downside
Markets

The News Out Of Europe Today Is A Headache For The ECB

Many market watchers these days warn that good news can be bad news, especially for central bankers who are trying to justify their stimulative loose monetary policies. Earlier today, the preliminary (Flash) PMI reports across Europe continued to confirm that the eurozone economic recovery is real. “As they stand, PMI […]
The News Out Of Europe Today Is A Headache For The ECB
Markets

The Bank Of Cyprus’ Biggest Shareholder Is A Russian Oligarch With An Insane Real Estate Portfolio

[credit provider=”YouTube” url=”http://www.youtube.com/watch?v=ffcueHZHI6Y”] Russian oligarch Dmitry Rybolovlev is the largest shareholder in the Bank of Cyprus, with a 9.9% stake in the company.He may have slept better this weekend when European officials announced that Cypriot banks would get a much-needed bailout, but on the condition that they accept a one-time […]
The Bank Of Cyprus’ Biggest Shareholder Is A Russian Oligarch With An Insane Real Estate Portfolio
Markets

CYPRIOT BANK EMPLOYEE: Are We Guinea Pigs?

Under the palm trees of Larnaca’s waterfront promenade, George Kyprou was staring out to sea and scratching his head. “I don’t know what to do,” he said. Like most Cypriots, he was astonished to wake up one bank holiday weekend morning to discover the government had seized up to 10% […]
CYPRIOT BANK EMPLOYEE: Are We Guinea Pigs?
Markets

Today’s ECB Press Conference Will Be The Most Exciting We’ve Seen In A Long Time

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] The press conferences following the European Central Bank’s monthly monetary policy decisions have been pretty uneventful as of late.On every first or second Thursday of the month, ECB President Mario Draghi is happy to remind reporters at the ECB press conference just how in control of European […]
Today’s ECB Press Conference Will Be The Most Exciting We’ve Seen In A Long Time
Markets

7 Things Mario Draghi Can Do To Weaken The Euro

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_121004.en.html”] One of the hottest topics in global markets over the past month has been the euro’s surge in value against other currencies like the U.S. dollar and the Japanese yen.With the Federal Reserve and the Bank of Japan engaged in monetary easing and ECB President Mario Draghi […]
7 Things Mario Draghi Can Do To Weaken The Euro
Markets

Mario Draghi Can’t Stop The Bubble In Europe From Bursting

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] In July 2012, amid a backdrop of serious uncertainty over the future of the euro, ECB President Mario Draghi told the world that the central bank would “do whatever it takes” to save the currency.Prior to that point, the biggest open question was whether the ECB – […]
Mario Draghi Can’t Stop The Bubble In Europe From Bursting
Markets

Morgan Stanley Is ‘Getting Worried’ About Europe Again

[credit provider=”Bloomberg, Morgan Stanley Research”] One of the most interesting stories to emerge out of what has been a pretty wild January for global markets is the rapid rise in European rates.That rise has Morgan Stanley rates strategist Laurence Mutkin worried about a resurgence of the European sovereign debt crisis […]
Morgan Stanley Is ‘Getting Worried’ About Europe Again
Markets

Today’s ECB Meeting Could Go ‘Right Down To The Wire’ — Here’s What You Need To Know

[credit provider=”Ralph Orlowski/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/mario-draghi-new-president-of-the-european-central-bank-news-photo/131244333″] The ECB announces its monthly interest rate decision at 7:45 AM ET. Following the announcement, ECB President Mario Draghi will hold a press conference and Q&A session at 8:30 AM.The big question going into this month’s meeting is whether the ECB will cut the benchmark […]
Today’s ECB Meeting Could Go ‘Right Down To The Wire’ — Here’s What You Need To Know
Markets

Europe Agrees To Make The ECB Its Banking Supervisor

[credit provider=”AP”] Dec. 13 (Bloomberg) — European Union finance ministers agreed to put the European Central Bank in charge of all euro- area lenders in a deal that paves the way for the currency bloc’s firewall fund to provide direct bailouts to banks.The new supervisory mechanism should be fully ready […]
Europe Agrees To Make The ECB Its Banking Supervisor
Markets

Deutsche Bank’s Jim Reid Presents A European Nightmare Scenario That The ECB Would Be Powerless To Prevent

[credit provider=”AP Images” url=”http://www.apimages.com/OneUp.aspx?st=k&kw=draghi&showact=results&sort=relevance&intv=None&sh=10&kwstyle=and&adte=1343871142&pagez=60&cfasstyle=AND&rids=b352ba1f7340497f9b076c821ae1401b&dbm=PY2011&page=1&xslt=1&mediatype=Photo”] The major development in yesterday’s European Central Bank policy meeting was a significant downgrade to the ECB’s staff projections for GDP growth and inflation in the euro area over the course of 2013.Since the ECB introduced it’s “Outright Monetary Transactions” (OMT) bond market intervention program in […]
Deutsche Bank’s Jim Reid Presents A European Nightmare Scenario That The ECB Would Be Powerless To Prevent
Markets

ECB Leaves Rates Unchanged, Issues Significant Downgrades To Growth And Inflation Forecasts

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] ECB President Mario Draghi took the stage at the ECB press conference after the Governing Council voted to leave rates unchanged earlier this morning. The main focus was on the ECB’s new staff projections for growth and inflation in the eurozone over the coming years.
ECB Leaves Rates Unchanged, Issues Significant Downgrades To Growth And Inflation Forecasts
Markets

The ECB Makes Its Next Decision This Morning — Here’s What You need To Know

[credit provider=”Ralph Orlowski/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/mario-draghi-new-president-of-the-european-central-bank-news-photo/131244333″] Today, the European Central Bank closes out a remarkable year.On July 26, ECB President Mario Draghi set the tone for the rest of 2012 when he told the world, “Within our mandate, the ECB is ready to do whatever it takes to preserve the euro. […]
The ECB Makes Its Next Decision This Morning — Here’s What You need To Know
Markets

The Euro Crisis Will Only End When Unemployment Falls

[credit provider=”AP Images”] There has been a lot of legitimate good news from the euro zone in recent months.Renegotiation of the rescue package with Greece may represent can-kicking, but every day you’re able to kick the can is a day you haven’t allowed the euro zone to blow up.
The Euro Crisis Will Only End When Unemployment Falls
Markets

ECB Leaves Rates Unchanged, Says Economy Does Not Signal Improvements For Next Year

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Today the European Central bank chose to leave its benchmark refi rate unchanged at 0.75 per cent and the deposit rate also unchanged at 0 per cent.In the press conference following the release, ECB chief Mario Draghi said the growth outlook for the fourth quarter and next […]
ECB Leaves Rates Unchanged, Says Economy Does Not Signal Improvements For Next Year
Markets

The ECB Announces Interest Rates Today—Here’s What You Need To Know

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] At 7:45 AM ET, the ECB announces its monthly policy decision regarding interest rates, followed by a press conference and Q&A session at 8:30.Citi economist Jürgen Michels notes that today’s meeting marks ECB chief Mario Draghi’s one-year anniversary at the helm of the central bank.
The ECB Announces Interest Rates Today—Here’s What You Need To Know
Markets

Mario Draghi Reveals A Ghost From His Past That Explains Why He Is Against Inflation

[credit provider=”World Economic Forum, Flickr” url=”http://www.flickr.com/photos/[email protected]/6770831559″] European Central Bank President Mario Draghi has been giving Germans a lot of facetime lately as he seeks to reassure them that the ECB’s new bond market intervention program, OMT, will not cause unwanted inflation.Last week, Draghi went before the German Bundestag to defend […]
Mario Draghi Reveals A Ghost From His Past That Explains Why He Is Against Inflation
Markets

Mario Draghi Defends The ECB’s OMT Bond Market Intervention Program Before German Lawmakers

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] ECB President Mario Draghi just met with German Bundestag members in Berlin. Now he’s taking questions from reporters.Draghi said the talks were focused on the ECB’s OMT bond market intervention program. He sought to reiterate that OMT is fully in compliance with the ECB’s mandate and ECB […]
Mario Draghi Defends The ECB’s OMT Bond Market Intervention Program Before German Lawmakers
Markets

The REAL Eurozone Crisis Is About Much More Than Debt

[credit provider=”Paul Downer / Flickr” url=”http://www.flickr.com/photos/psd/506494307/”] Europe is in crisis, and it’s not just about occasional flare-ups in peripheral sovereign debt markets anymore.In fact, it’s really never been about that.
The REAL Eurozone Crisis Is About Much More Than Debt
Markets

REPORT: Europe’s Big Plan To Fix The Banking System May Be Illegal

[credit provider=”Bundestag” url=”http://www.bundestag.de/Mediathek/index.jsp?instance=m187&action=&live=true&view=”] According to a report from the Financial Times, the big idea on the table right now to stem the eurozone banking crisis may be illegal.The plan in question is delegating to the ECB the role of sole banking supervisor in the eurozone, which is the first step […]
REPORT: Europe’s Big Plan To Fix The Banking System May Be Illegal
News

The Rest Of The World’s Currencies Feel Threatened By QE3

[credit provider=”bradipo on flickr” url=”http://www.flickr.com/photos/bradipo/1435739708/”] The United States Federal Reserve’s recent decision to launch a third round of “quantitative easing” has revived accusations by Brazil’s finance minister, Guido Mantega, that the US has unleashed a “currency war.” In emerging-market countries that are already struggling with the impact of rapid currency […]
The Rest Of The World’s Currencies Feel Threatened By QE3
Markets

Mario Draghi Speaks At The ECB Press Conference

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_121004.en.html”] The ECB left both the benchmark refinancing rate and the deposite rate unchanged today, at 0.75 per cent and 0 per cent, respectively.The press conference following the release of the interest rate decision was mostly characterised by questions regarding the ECB’s new OMT bond market intervention program.
Mario Draghi Speaks At The ECB Press Conference
Markets

The ECB Is Meeting For The First Time Since The Rescue Plan Was Announced – Here’s What You Need To Know

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] At last month’s meeting, the ECB unveiled its much-awaited bond-buying program, dubbed Outright Monetary Transactions (OMT).The announcement of the plan has served to keep government borrowing costs in check as market participants await a request from Spain for a formal bailout, which is a prerequisite for activating any […]
The ECB Is Meeting For The First Time Since The Rescue Plan Was Announced – Here’s What You Need To Know
Markets

Greece Is Feeling The ‘Straightjacket’ More Than Ever

[credit provider=”marcus_jb1973 on flickr” url=”http://www.flickr.com/photos/marcusjb/432600086/”] Awful as Greece’s GDP has been, it doesn’t do justice to the economic fiasco.Take new vehicle registrations: in August, they plunged 46.7% from prior year. Only 3,886 new vehicles were sold. A collapse of 80% from August 2008 at the cusp of the crisis. For […]
Greece Is Feeling The ‘Straightjacket’ More Than Ever
Markets

In His Plot To Save Europe, Mario Draghi Made One Crucial Mistake

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Reuters has a fascinating special report that takes a look inside the internal negotiations on the ECB Governing Council that led to the birth of Mario Draghi’s OMT bond-buying plan to save the euro, announced on September 6.The piece details the negotiations between the Italian ECB chief […]
In His Plot To Save Europe, Mario Draghi Made One Crucial Mistake
Markets

Why The Next 5 Days Are Crucial For Spain And Europe Overall

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Toro_de_Osborne.JPG”] European markets are getting slammed to start the week, and everyone is talking about Spain.Across Wall Street, there seems to be agreement on one thing:
Why The Next 5 Days Are Crucial For Spain And Europe Overall
Markets

CITI’S BUITER: The Eurozone Will Be In ‘Cardiac Arrest’ For At Least 2-3 More Years

[credit provider=”Bloomberg TV” url=”http://www.bloomberg.com/video/80559810/”] It’s been an extremely busy September on the euro crisis front.After a few weeks of relative calm in August as European leaders went on holiday, the ECB announced an unprecedented bond-buying scheme to quell rising government funding costs, the German Constitutional Court ratified the eurozone’s permanent […]
CITI’S BUITER: The Eurozone Will Be In ‘Cardiac Arrest’ For At Least 2-3 More Years
Markets

Mario Draghi Has Started A Quiet Revolution In Europe — And People Still Don’t Get What Happened

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] In a post from yesterday on the relationship between global financial markets and central bank activity, we wrote something upon which we’d like to expand:On the surface, the Fed’s QE, and the ECB version of bond buying (OMT) look the same, because they’re both bond buying. But […]
Mario Draghi Has Started A Quiet Revolution In Europe — And People Still Don’t Get What Happened
Markets

The Biggest Myth In The Stock Market Today

[credit provider=”Gabby Canonizado 02, Flickr” url=”http://www.flickr.com/photos/[email protected]/6550277937″] A note out this week from Morgan Stanley was titled Fundamental Disconnect, and it summed the market thusly.Global central banks have done all in their power to rescue the financial markets from the doldrums.  Yet, fundamentals continue to weaken.  We believe fundamentals ultimately trump […]
The Biggest Myth In The Stock Market Today
Markets

ECB Member Gives A Brilliant Explanation Of The Euro Crisis And What Is Being Done About It

[credit provider=”ECB” url=”http://www.ecb.int/press/key/date/2012/html/sp120920.en.pdf?80bf0f4c96df799afcdc6cd7c989b8e0″] Unconventional monetary policies pursued by the world’s biggest central banks in response to one of the biggest financial crises in history have come under criticism all over the place.ECB executive board member and French economist Benoît Cœuré gave a big speech today at the Institut d’Études Politiques in […]
ECB Member Gives A Brilliant Explanation Of The Euro Crisis And What Is Being Done About It
Markets

CITI: A Greek Exit From The Euro Is Now ‘More Manageable And Hence More Likely’

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:20091128_Loutra_Thermes_Xanthi_Thrace_Greece_2.jpg”] Citi chief economist Willem Buiter and his team are out with their latest monthly Global Outlook and Strategy report, and they still see a Greek exit from the euro as a near certainty.In fact, they think it’s looking more likely than it did last month.
CITI: A Greek Exit From The Euro Is Now ‘More Manageable And Hence More Likely’
Markets

Printing Money Was Once The Work Of The Devil

Gold hit its highest level in 6-1/2 months today after Japan followed Europe and the USA in embarking on stimulus measures to boost its economy, increasing the safe haven’s appeal as an inflation hedge.
Printing Money Was Once The Work Of The Devil
Markets

BofA: The ECB Will Never Be Able To Enforce The centrepiece Of Its New Bailout Plan

[credit provider=”YouTube” url=”http://www.youtube.com/watch?v=OWm_vP5iJ9E”] A week after its unveiling, the European Central Bank’s new bond-buying plan isn’t holding up to scrutiny on Wall Street.BofA economist Laurence Boone was never too pumped – in a note to clients following the announcement, she explained why the ECB’s was more negative than positive.
BofA: The ECB Will Never Be Able To Enforce The centrepiece Of Its New Bailout Plan
Markets

You Must Read CNBC’s Thunderous Take Down Of Mario Draghi And His Assault On Democracy

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] The ECB’s new scheme to buy unlimited quantities of sovereign bonds — provided that the government of said countries submit to outside review of their fiscal conditions — has been hailed as the game changer that Europe has been waiting for.Finally, the ECB’s unlimited balance sheet will […]
You Must Read CNBC’s Thunderous Take Down Of Mario Draghi And His Assault On Democracy
Markets

Mario Draghi’s Blindness Makes Him A Danger To Europe

The plan to “save the euro through unlimited bond-buying” that ECB president Mario Draghi presented last week shows one thing above all, and with blinding clarity to boot – why nobody picks up on it is beyond me: it shows that Draghi is the least suitable person to present any […]
Mario Draghi’s Blindness Makes Him A Danger To Europe
Markets

The Truth About The ECB’s Plans To ‘Sterilize’ Its Purchases Of Government Debt

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] When the ECB announced its new plan to buy peripheral government debt in Europe (for the purpose of reducing yields) there was some concern over the fact that the purchases were going to be “sterilized.”In theory what this means is that if, say, the ECB goes out […]
The Truth About The ECB’s Plans To ‘Sterilize’ Its Purchases Of Government Debt
Markets

Draghi’s ‘Rescue’ Might Deepen Pain For The Recession-Hit South

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:10eurounterschrmario.png”] Super Mario, as European Central Bank president Mario Draghi has become known, cheered the world’s financial markets last week with his bold plan to buy unlimited quantities of crisis-hit governments’ bonds to shore up the euro.But as the action passes to Germany this week, investors will […]
Draghi’s ‘Rescue’ Might Deepen Pain For The Recession-Hit South
Markets

MORGAN STANLEY: The ECB’s New Plan Is ‘Quite Likely’ To Deepen Europe’s Recession

[credit provider=”taigasylvan on Flickr” url=”http://www.flickr.com/photos/[email protected]/4691472453/sizes/m/in/photostream/”] Markets soared after the ECB announced its new bond-buying plan yesterday. Many Wall Street strategists have expressed cautious optimism since ECB President Mario Draghi revealed the details of the rescue program designed to bring government borrowing costs down in Italy and Spain.Morgan Stanley rates strategist Laurence […]
MORGAN STANLEY: The ECB’s New Plan Is ‘Quite Likely’ To Deepen Europe’s Recession
Markets

The ECB May Not Have To Buy Much Spanish Debt After All

[credit provider=”flickr / Convergència Democrà tica de Catalunya” url=”http://www.flickr.com/photos/convergenciademocratica/6436083925/”] There has been a lot of concern regarding the potential “unlimited” nature of the ECB’s new bond market intervention plan.The worry is that the ECB could end up with a balance sheet packed with sovereign debt that no one else wants […]
The ECB May Not Have To Buy Much Spanish Debt After All
Markets

ROUBINI: The ECB Will Not Allow Spain And Italy To Game The Bailout

[credit provider=”Bloomberg TV” url=”http://www.bloomberg.com/video/roubini-says-ecb-will-be-strict-on-conditionality-g75jzTjcQGWnJXPa7WhwKQ.html”] NYU economist Nouriel Roubini was on Bloomberg TV this morning giving his thoughts on the ECB’s new bond-buying plan announced yesterday.One of the biggest concerns that the ECB itself has with implementing the new rescue program is that by only buying government debt with maturities of […]
ROUBINI: The ECB Will Not Allow Spain And Italy To Game The Bailout
Markets

Nomura’s Incredibly Bearish Take On Why The ECB Only Bought 3 Months At Most

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Markets are loving the new plan ECB president Mario Draghi laid out to rescue the eurozone yesterday.Nomura economists – not so much. A team led by Jacques Cailloux is out with one of the most bearish notes we’ve seen on the ECB and its plan since it was […]
Nomura’s Incredibly Bearish Take On Why The ECB Only Bought 3 Months At Most
Markets

Mario Draghi Probably Shouldn’t Read The German Papers This Morning

[credit provider=”AP/Riccardo De Luca”] MARIO DRAGHI, president of the European Central Bank, should probably not open the German papers this morning. Nearly all of them are highly critical of the ECB’s plan, unveiled on September 6th, to start a process of buying the government bonds of peripheral euro-zone states, as […]
Mario Draghi Probably Shouldn’t Read The German Papers This Morning