Markets

CITI: How The ECB’s New Rescue Plan Could Go All Wrong

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Citi is out with its reaction to the bond-buying plan ECB President Mario Draghi revealed at the central bank’s big meeting earlier today.Rates strategist Jamie Searle asks some pointed questions about the new program (aka the OMT) – namely, whether it’s robust enough to avoid the same […]
CITI: How The ECB’s New Rescue Plan Could Go All Wrong
Markets

JP MORGAN: The ECB’s New Plan Will Change The Course Of The Euro Crisis

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Mario Draghi and the ECB have been critiqued all day long since the central bank president this morning unveiled the details to its new bond-buying program aimed at turning around the euro crisis.JPMorgan economist Malcolm Barr thinks it’s a game-changer, writing in a note to clients today […]
JP MORGAN: The ECB’s New Plan Will Change The Course Of The Euro Crisis
Markets

GOLDMAN: Spain Will Formally Request A Bailout Next Weekend

[credit provider=”(Photo by Pablo Blazquez Dominguez/Getty Images) “] Mario Draghi and the ECB have spoken on the new bond-buying plan that markets have been waiting for since the last time the ECB stopped buying bonds.Earlier, we highlighted BofA’s take on the plan (they were disappointed by the details).
GOLDMAN: Spain Will Formally Request A Bailout Next Weekend
Markets

BofA: More Bad Than Good Came Out Of The Big ECB Announcement

[credit provider=”YouTube” url=”http://www.youtube.com/watch?v=OWm_vP5iJ9E”] The ECB had its work cut out for it today – markets have rallied considerably over the past month ahead of the big ECB announcement detailing its bond-buying plan this morning.  The bond-buying plan is formally known as Outright Monetary Transactions (OMT).BofA economist Laurence Boone sent a […]
BofA: More Bad Than Good Came Out Of The Big ECB Announcement
Markets

‘FINANCIAL MARKETS CHEER THE DEATH OF THE BUNDESBANK’

[credit provider=”Die Welt” url=”http://www.welt.de/finanzen/article109060047/Finanzmaerkte-bejubeln-den-Tod-der-Bundesbank.html”] That’s the latest headline from the German newspaper Die Welt (via Google Translate).Mario Draghi said in the Q&A today at the ECB meeting that “there was one dissenting view” on the bond-buying plan and he told the reporter who asked the question that “it’s up to you […]
‘FINANCIAL MARKETS CHEER THE DEATH OF THE BUNDESBANK’
Markets

This Market Looks Like A Buying Panic

Stocks surged Thursday morning, with the S&P 500 hitting its highest level since 2008, following a slew of good jobs reports and the European Central Bank press conference led by Mario Draghi. 
This Market Looks Like A Buying Panic
Markets

Who’s Ready For An Insanely Busy 15 Minutes?

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Time_study_stopwatch.JPG”] Quick heads up.Coming up in about an hour there’s going to be a furious 15 minutes burst:
Who’s Ready For An Insanely Busy 15 Minutes?
Markets

BofA: The Only Four Things The ECB Could Say Today That Would Keep The Rally Going

[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] The ECB’s big moment everyone has been waiting for over the past month or so has arrived. The central bank is expected to announce details of its highly-anticipated bond buying program at 8:30 AM ET.Bloomberg reported leaked details about the expected plan yesterday.
BofA: The Only Four Things The ECB Could Say Today That Would Keep The Rally Going
Markets

7 Top Economists Preview Today’s Huge ECB Meeting

[credit provider=”flickr / INSM” url=”http://www.flickr.com/photos/insm/6515955143/”] The ECB is holding its September meeting to set monetary policy.The main event will be additional guidance on ECB President Mario Draghi’s plan to restart bond purchases in order to hold down funding costs for troubled euro periphery countries like Spain and Italy.
7 Top Economists Preview Today’s Huge ECB Meeting
Markets

SocGen: Markets Are At Risk Of Entering The Danger Zone

[credit provider=”Daniel Goodman / Business Insider”] Markets are surging today, ahead of the ECB meeting, but according to SocGen’s Kit Juckes, the big picture is that you should look past the central banks (including the Fed which meets next week) and batten down the hatches, as more economic data comes […]
SocGen: Markets Are At Risk Of Entering The Danger Zone
Markets

MORGAN STANLEY: The Global Economy Continues To Sink Deeper Into The Twilight Zone

[credit provider=”is0b3lpalm3rs0n via Flickr” url=”http://www.flickr.com/photos/[email protected]/2968292405/”] A few weeks ago, Morgan Stanley’s head global economics Joachim Fels sent a note to clients entitled Into the Twilight Zone. In the note, the group downgraded its global growth forecasts, reflecting increasing pessimism across Wall Street on the future of the world economy.Fels just put […]
MORGAN STANLEY:  The Global Economy Continues To Sink Deeper Into The Twilight Zone
Markets

LEAKED: The ECB Is Going To Engage In ‘Unlimited’ Bond Buying Of Peripheral Sovereign Debt, But There Is A Catch…

[credit provider=”flickr / Convergència Democrà tica de Catalunya” url=”http://www.flickr.com/photos/convergenciademocratica/6436083925/”] There is an ECB meeting tomorrow, and the expectation is that Mario Draghi will unveil a scheme to significantly halt the Eurozone crisis, via aggressive buying of short-term peripheral sovereign debt.The idea of the ECB funding governments directly has been extremely […]
LEAKED: The ECB Is Going To Engage In ‘Unlimited’ Bond Buying Of Peripheral Sovereign Debt, But There Is A Catch…
Markets

JPMorgan Estimates What Yield Levels The ECB Might Target On Spanish And Italian Bonds

[credit provider=”flickr / Convergència Democrà tica de Catalunya” url=”http://www.flickr.com/photos/convergenciademocratica/6436083925/”] Many are hailing the ECB’s yet-to-be-announced bond-buying plan – expected to be detailed to the public September 6 – as a game-changer for the euro crisis.The ECB has been unwilling to restart bond purchases of peripheral euro nations even as markets […]
JPMorgan Estimates What Yield Levels The ECB Might Target On Spanish And Italian Bonds
Markets

The Basic Arithmetic Behind Investors’ Biggest Fear In Europe

[credit provider=”Sean Gallup/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/one-of-the-sculptures-of-young-girls-by-artist-rene-julien-news-photo/133243819″] One of the biggest problems European leaders face right now in alleviating the euro crisis is being overlooked amid all of the excitement about the ECB’s expected September 6 announcement to support troubled eurozone nations by buying their government bonds.The ECB has to give up […]
The Basic Arithmetic Behind Investors’ Biggest Fear In Europe
Markets

Mario Draghi Makes His Sales Pitch To Germany

[credit provider=”European Commission” url=”http://ec.europa.eu/avservices/photo/photoDetails.cfm?sitelang=en&ref=P-018816/00-08#0″] Mario Draghi has published the following piece titled: The future of the euro: stability through change in German newspaper Die Ziet.It’s not the most technical discussion of what will happen next in Europe, but it does offer a very good big picture take on the direction […]
Mario Draghi Makes His Sales Pitch To Germany
Markets

An ECB Member Gave A Speech In German That Laid Out The Plan To Save Europe

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:J%C3%B6rg-Asmussen-2012-III-15-Freiburg.JPG”] What will happen next in Europe? We just asked that question to analyst Lorcan Roche Kelly of Trend Macrolytics.His answer: Check out the latest speech from ECB executive board member Jörg Asmussen, who hails from Germany.
An ECB Member Gave A Speech In German That Laid Out The Plan To Save Europe
Markets

EL-ERIAN: Mario Draghi And The ECB Have Made It Very Expensive To Bet Against Europe

[credit provider=”Bloomberg TV” url=”http://www.businessinsider.com.au/el-erian-pours-cold-water-on-todays-jobs-report-2012-2″] Market volatility is at record lows right now, but experts are expecting an uptick in event risk over the next few weeks.The European Central Bank (ECB) meets September 6, and everyone is expecting them to unveil a bond-buying plan that will stem government borrowing costs in […]
EL-ERIAN: Mario Draghi And The ECB Have Made It Very Expensive To Bet Against Europe
Markets

MERKEL: Everyone Needs To Watch What They Say About Greece

[credit provider=”(Photo by Sean Gallup/Getty Images) “] BERLIN (Reuters) – German Chancellor Angela Merkel voiced support for Bundesbank chief Jens Weidmann on Sunday, saying she welcomed his warnings about the handling of the euro zone debt crisis and saw his influence within the European Central Bank as positive.In an interview […]
MERKEL: Everyone Needs To Watch What They Say About Greece
Markets

FLECKENSTEIN: The ECB Could Soon Unleash A ‘Very, Very Big Game-Changer’

[credit provider=”YouTube” url=”http://www.youtube.com/watch?v=Te96kxN5BVA”] Hedge fund manager Bill Fleckenstein thinks the European Central Bank is about to turn the whole euro crisis on its head, based on recent reports that the central bank is close to working out a plan to limit government borrowing costs in the eurozone.In a column for […]
FLECKENSTEIN: The ECB Could Soon Unleash A ‘Very, Very Big Game-Changer’
Markets

How Deep Political Instability In Italy Could Jeopardize The Entire Euro Rescue

[credit provider=”Sean Gallup/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/italian-prime-minister-mario-monti-is-seen-under-the-red-news-photo/136739897″] Growing political turmoil in Italy – the ailing euro periphery’s largest and most important economy – could be a dealbreaker for any sort of ECB plan to save the euro.The newsflow out of Italy has been relatively quiet lately as investors focus their near-term concerns […]
How Deep Political Instability In Italy Could Jeopardize The Entire Euro Rescue
Markets

Goldman’s Pill Expects The ECB To Announce A Plan To Save Europe No One Expects

[credit provider=”YouTube” url=”http://www.youtube.com/watch?v=0B0f9Vcvmiw”] The big idea out of Europe this week has been that the ECB is finally coming around to engage in bond-buying of troubled eurozone countries in order to force interest rates down and thereby stabilise funding costs for states like Spain and Italy.A few commentators, like PIMCO […]
Goldman’s Pill Expects The ECB To Announce A Plan To Save Europe No One Expects
Markets

Why Germany May Finally Be Ready To Do What It Takes To Save The Euro

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:J%C3%B6rg-Asmussen-2012-III-15-Freiburg.JPG”] Markets have calmed down in a big way in the eurozone and around the world since European Central Bank head Mario Draghi said in July that the ECB was committed to do “whatever it takes” to save the euro.Spain’s government funding costs, which have become a […]
Why Germany May Finally Be Ready To Do What It Takes To Save The Euro
Markets

The Best Sentence You’ll Read About Ending The Eurozone Crisis All Day

[credit provider=”spanaut on flickr” url=”http://www.flickr.com/photos/cs___/203099199/”] A new note out from Citi’s Steven Englander tries to assess the latest state of play with regardes to ECB bond buying, the Greek situation, and so forth.It’s all solid, but the red highlighted line at the end is fantastic.
The Best Sentence You’ll Read About Ending The Eurozone Crisis All Day
Markets

Nomura Presents 4 Reasons To Be Seriously Cautious About This New Report About The ECB Saving The Day

[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”] All the buzz today is about the report in German magazine Der Spiegel about the ECB setting a hard cap on peripheral yields, or at least spread relative to German yields.This is causing a big drop in Spanish short-term borrowing costs.
Nomura Presents 4 Reasons To Be Seriously Cautious About This New Report About The ECB Saving The Day
Markets

Analysts Pour Cold Water On Europe

The market is starting the week on a positive note, at least on the Euro crisis front, as sovereign yields drop thanks to a report about the ECB engaging in yield caps.
Analysts Pour Cold Water On Europe
Markets

Spain Wants Details On The ECB’s Bazooka Before It Asks For A Bailout

[credit provider=”(Photo by Pablo Blazquez Dominguez/Getty Images) “] European markets have been on a tear recently since the latest ECB meeting in which Mario Draghi was seen as giving a clear commitment to supporting eurozone sovereigns as long as government leaders commit to taking proactive measures themselves, like formally requesting […]
Spain Wants Details On The ECB’s Bazooka Before It Asks For A Bailout
Markets

If This Report Is True, The ECB Is Actually Getting Close To Firing Off The Bazooka

[credit provider=”European Commission” url=”http://ec.europa.eu/avservices/photo/photoDetails.cfm?sitelang=en&ref=P-018816/00-08#0″] There’s a story by Reuters citing the latest edition of German magazine Der Spiegel, which is reporting that the ECB is considering setting an explicit top yield threshold for peripheral nation borrowing costs at its meeting in September.In other words, ECB chief Mario Draghi would come […]
If This Report Is True, The ECB Is Actually Getting Close To Firing Off The Bazooka
News

Here’s The Scary Scenario We’re Sleeping Walking Into

[credit provider=”The Road” url=”http://www.imdb.com/title/tt0898367/”] A great orgasm shuddered through the money world last week when Mario Draghi paused between scamorza con arugula tidbits to remark that the European Central Bank (ECB) would stop at nothing to keep the financial blood of Europe circulating. Of course you wonder how many pony glasses of […]
Here’s The Scary Scenario We’re Sleeping Walking Into
Markets

Back In December, Mario Draghi Gave A Speech That Explained Everything That’s Happening In Europe

[credit provider=”World Economic Forum, Flickr” url=”http://www.flickr.com/photos/[email protected]/6770831559″] It’s been a wild two weeks in Europe.A couple weeks ago, borrowing costs in Spain and Italy were soaring, and Mario Draghi was forced to make a crucial statement, that surging borrowing costs were impeding monetary policy, and thus it was the prerogative of […]
Back In December, Mario Draghi Gave A Speech That Explained Everything That’s Happening In Europe
Markets

WORLD CENTRAL BANKS ON ‘RED ALERT’

[credit provider=”Wikimedia Commons”] Jon Hilsenrath, the world’s best central bank reporter, says that the conclusion from this week is that the world’s big central banks (the Fed and the ECB, natch) are on ‘red alert’ over the state of the US economy.From WSJ:
WORLD CENTRAL BANKS ON ‘RED ALERT’
Markets

Mario Draghi’s Diabolical Spiral

Mario Draghi did a press conference today. “Everyone” was eagerly awaiting it, and nobody seemed to understand it makes no difference what he says. At least, that is, from the point of view of saving the euro, or Spain, or Italy, or the eurozone. Draghi let slip a dumb remark […]
Mario Draghi’s Diabolical Spiral
Markets

The Biggest Reason To Be Worried About Today’s ECB Meeting

[credit provider=”Ralph Orlowski/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/the-symbol-of-the-european-common-currency-the-euro-stands-news-photo/127296927″] Hopes are high for today’s ECB meeting.That’s because last week, Mario Draghi said to critical things that caused people to think the ECB was going to do something substantive to reduce interest rates in countries like Spain and Italy.
The Biggest Reason To Be Worried About Today’s ECB Meeting
Markets

SocGen’s Client Survey Shows That 69% Expect The ECB To Disappoint

[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”] After the Fed failed to act today, all eyes are on the European Central Bank which will release its monetary policy decision tomorrow.Markets will be watching to see if ECB president Mario Draghi will stand by his promise to “do whatever it takes to preserve the […]
SocGen’s Client Survey Shows That 69% Expect The ECB To Disappoint
Markets

All Of The Tools Available To Mario Draghi As He Attempts To Save The Euro

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Invalides_cannons.jpg”] After the Fed elected to stand pat for the moment, the market is has switched its focus to Mario Draghi.His situation is someone different from Ben Bernanke’s, as the European Central Bank has a narrower mandate and more complicated system of government to deal with.
All Of The Tools Available To Mario Draghi As He Attempts To Save The Euro
Markets

Bundesbank President Weidmann Tears Apart Critics In A New Interview

[credit provider=”(Photo by Sean Gallup/Getty Images) “] We covered the impending showdown between the German central bank president and Mario Draghi, head of the ECB, over controversial measures to support ailing eurozone countries by buying their sovereign bonds.The German Bundesbank just posted an interview from an internal staff magazine with […]
Bundesbank President Weidmann Tears Apart Critics In A New Interview
Markets

The Rest Of The ECB Seems To Have No Idea What Draghi Is Talking About

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Draghi,_Mario_%28IMF_2009%29.jpg”] Comments from the European Central Bank’s president Mario Draghi have increased the expectation from the market that the ECB will do something huge in the coming Governing Council meeting on Thursday.  The market has probably priced in a resumption Securities Market Programme (SMP), and some are […]
The Rest Of The ECB Seems To Have No Idea What Draghi Is Talking About
Markets

A Perfect One Paragraph Summary Of This Week’s Critical ECB Decision

[credit provider=”European Commission” url=”http://ec.europa.eu/avservices/photo/photoDetails.cfm?sitelang=en&ref=P-018816/00-08#0″] This is a great sumup of the expectations surrounding this Thursday’s ECB decision. It’s from Citi’s Steven Englander:Comments by ECB President Draghi had a direct impact, narrowing 10 year Spanish spreads with Germany about 90bps and 5 year Spanish Sovereign CDS about 100 points.  Italy has […]
A Perfect One Paragraph Summary Of This Week’s Critical ECB Decision
Markets

How Central Banks Can Save The World

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Feuerwehrmann_beim_Brand_einer_Muelldeponie.JPG”] It’s Central Bank Week this week.On Wednesday we get the next policy decision from The Federal Reserve. On Thursday the Bank of England and the ECB weigh in. And it’s possible that maybe the People’s Bank of China might jump in with a surprise… something they’ve […]
How Central Banks Can Save The World
Markets

The ECB Is On A Collision Course With The Bundesbank

[credit provider=”en.wikipedia.org” url=”http://en.wikipedia.org/wiki/File:WW1_TitlePicture_For_Wikipedia_Article.jpg”] The coordinated confidence-inspiring words from the Eurozone’s fearless leaders about doing whatever it would take to save the euro wasn’t about Greece anymore.Its life support may get unplugged in September. Politicians have apparently given up. The tab isn’t that dramatic: default and return to the drachma would […]
The ECB Is On A Collision Course With The Bundesbank
Markets

Mario Draghi Is Either Blind Or Bluffing

A week ago I cut a EURUSD short position that was well into the money. (Link)I was concerned that “something” might happen that could make a mess. I listed a number of concerns that might have caused a flip-flop, but Mario Draghi talking, was not on my list. Of course, that […]
Mario Draghi Is Either Blind Or Bluffing
Markets

REPORT: The ECB And Other Public Creditors May Accept Losses On Greek Debt

[credit provider=”Artnow314, Flickr” url=”http://www.flickr.com/photos/[email protected]/356048734″] The unwillingness of the European Central Bank to participate in March’s Greek debt restructuring was a point of contention for private bondholders that took billions in losses. Many believe that Greece now needs a second bailout to remain solvent, and senior Eurozone officials told Reuters that the Eurozone’s […]
REPORT: The ECB And Other Public Creditors May Accept Losses On Greek Debt
Markets

The ECB Will Stop Accepting Greek Debt As Collateral Next Wednesday

[credit provider=”Richy-schley.de” url=”http://www.flickr.com/photos/wanderlinse/4359886869/sizes/m/in/photostream/”] Starting next Wednesday, the European Central Bank will stop accepting Greek sovereign bonds and other Greek government backed assets as collateral for loans.Reuters reports that the eligibility of such assets will be reassessed after the combined ECB/IMF/European commission evaluates Greek compliance with the terms of the second bailout.
The ECB Will Stop Accepting Greek Debt As Collateral Next Wednesday
Markets

The ECB Is Overhauling Its Approach To Bank Bailouts

[credit provider=”AP/Riccardo De Luca”] The European Central Bank is changing its approach to bank bailouts a report citing ECB President Mario Draghi in the WSJ published today.In contrast to its position with respect to the Irish bailout, the bank will now support the idea of even banks’ most senior debt […]
The ECB Is Overhauling Its Approach To Bank Bailouts
Markets

This One Paragraph Explains Why Traders Aren’t Happy About The ECB’s Rate Cut Decision

[credit provider=”Screengrab via YouTube” url=”http://www.youtube.com/watch?v=5qVlnGIxpzU”] Investors weren’t exactly happy with the European Central Bank’s 25 bps rate cut this morning.Even though it was better than nothing, the rate cut was widely expected and there was a lack of non-standard policy. Ultimately, sentiment seems to be that it doesn’t really go […]
This One Paragraph Explains Why Traders Aren’t Happy About The ECB’s Rate Cut Decision
Markets

Draghi Explains The ECB Rate Cut

European Central Bank President Mario Draghi explained the Bank’s latest decision to cut its target interest rate to 0.75 per cent in a press conference at 8:30 AM ET.
Draghi Explains The ECB Rate Cut
Markets

ECB CUTS RATES BY 25 BPS TO 0.75%

[credit provider=”AP/Michael Probst”] UPDATE: The European Central Bank just cut interest rates by 25 bps to 0.75 per cent.That is the lowest ECB benchmark rate target ever.
ECB CUTS RATES BY 25 BPS TO 0.75%
News

Germans Are Terrified Of The ‘European Monster State’

Rather than solving the Eurozone debt crisis once and for all, the EU summit last week gummed up the bailout process with controversy in the very country that everyone is counting on to save the Eurozone, Germany—but also elsewhere—and nothing has been resolved.
Germans Are Terrified Of The ‘European Monster State’
Markets

STEVEN ENGLANDER: The Best Reason Not To Expect Too Much From The ECB

[credit provider=”European Commission” url=”http://ec.europa.eu/avservices/photo/photoDetails.cfm?sitelang=en&ref=P-018816/00-08#0″] Investors have high hopes that the European Central Bank will make big moves in its next monetary policy decision on Thursday in the wake of an EU summit that exceeded expectations.But Citi’s FX team has its doubts that the Bank will live up to the hype.
STEVEN ENGLANDER: The Best Reason Not To Expect Too Much From The ECB
Markets

The Entire World Is Quietly Waiting For The ECB…

[credit provider=”AP/Riccardo De Luca”] The markets were incredibly quiet yesterday, and are today.In its morning note, Nomura basically suggests we’re in a big holding pattern, waiting to see if the ECB does something on Thursday.
The Entire World Is Quietly Waiting For The ECB…
Markets

SocGen: 4 Major Central Banks Could Make Big Moves This Week

[credit provider=”Getty Images / Wikimedia Commons”] Weak global economic data and declining oil prices are likely to push central banks to act this coming week, according to Societe Generale’s Michala Marcussen and her team.The coming week will see key manufacturing reports from some of the largest global economies. China and […]
SocGen: 4 Major Central Banks Could Make Big Moves This Week
Markets

CITI: The ECB Will Make Things Worse Before Making Things Better If It Tries To Bail Out Spain

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Draghi,_Mario_%28IMF_2009%29.jpg”] Citi interest rates strategist Jamie Searle pours cold water on hopes that the ECB will swoop in and save the day in Spain (and Italy). In a note to clients, he cautions:Don’t count on Securities Market Programme (SMP) reactivation: There appear to be growing expectations in […]
CITI: The ECB Will Make Things Worse Before Making Things Better If It Tries To Bail Out Spain
Markets

Regulators Delay Important Spanish Bank Audit Because Everyone Will Be On Vacation

[credit provider=”flickr/cuellar” url=”http://www.flickr.com/photos/cuellar/219162721/sizes/o/in/photostream/”] The Wall Street Journal reported this morning that full results from the audit of the Spanish banking system that were originally slated to be delivered by July 31 will now be delayed until September.The reason? August vacation, which ostensibly would not have any bearing on a report […]
Regulators Delay Important Spanish Bank Audit Because Everyone Will Be On Vacation
Markets

BofA: The Spanish Bond Market Will Collapse Without ECB Intervention

[credit provider=”(Photo by Pablo Blazquez Dominguez/Getty Images) “] BofA Merrill Lynch believes the “stars are aligning for an ECB intervention in the Spanish bond market.”Rates strategists Sphia Salim and Max Leung write in a note to clients this morning that the surge in yields in the Spanish bond market recently are […]
BofA: The Spanish Bond Market Will Collapse Without ECB Intervention
Markets

ECB LEAVES RATES UNCHANGED

[credit provider=”AP/Michael Probst”] UPDATE: The ECB decided to keep rates steady at 1.00 per cent this morning, disappointing analysts who had hoped for more action.From the ECB:
ECB LEAVES RATES UNCHANGED
Markets

A 10-Second Preview Of Today’s ‘Main Event’

[credit provider=”AP”] From Nomura, this ECB preview seems right in line with consensus.The main event today is the ECB meeting, and we expect it to leave its policy rate unchanged at 1.0% (12:45 BST, Consensus: 1.0%, Previous: 1.0%), but indicate that it is prepared to cut rates and thereby increase […]
A 10-Second Preview Of Today’s ‘Main Event’
Markets

Auditor Slams ECB Risk-Management Practices

[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Draghi,_Mario_%28IMF_2009%29.jpg”] The European Central Bank lacks an independent risk management authority and suffers from a disconnect between management and risk management authorities, at least as of 2010, according to an independent audit report released today. “No independent, single, body, such as a Chief Risk Officer or overall risk […]
Auditor Slams ECB Risk-Management Practices
Markets

SOC GEN: Europe’s Leaders Have 6 Policy Options To Stem The Crisis

[credit provider=”Motiqua / Flirkr” url=”http://www.flickr.com/photos/motiqua/4586245313/”] Many proposals have been floated by European technocrats in order to stem the tide of capital outflows that is underway in the eurozone. Bets against the euro are at record levels and fears of bank runs in the periphery persist.
SOC GEN: Europe’s Leaders Have 6 Policy Options To Stem The Crisis
News

The President Of The Bundesbank Lashes Out At The ECB, Hollande And Even Krugman

[credit provider=”(Photo by Sean Gallup/Getty Images) “] Jens Weidmann, President of the German Bundesbank and member of the ECB Council, ventured into a veritable lion’s den with an interview in Le Monde, the number one liberal daily in France whose editorial bend has been supporting President François Hollande and his […]
The President Of The Bundesbank Lashes Out At The ECB, Hollande And Even Krugman
Markets

Read This One Paragraph, And You’ll See Why The ECB Is Such A smouldering Disaster

[credit provider=”Bank Of Italy” url=”http://www.bancaditalia.it/media/fotogallery/eventipersone/conv_mezzogiorno/intervento_draghi”] In a speech in Rome, ECB chief Mario Draghi explained why the ECB has made so many poor decisions (most notably rate hikes in early 2011 and early 2008, on the eve of major disasters).The definition of the objective is now wider. Price stability has […]
Read This One Paragraph, And You’ll See Why The ECB Is Such A smouldering Disaster
Markets

No Change In Rates At ECB

[credit provider=”AP/Michael Probst”] UPDATE: The ECB left interest rates unchanged at 1.00 per cent in its latest monetary policy decision.While this was expected, it is also (counter-intuitively) euro-bearish, as a cut would have increased investor confidence in the ECB’s willingness to act amid the sovereign debt and banking crises still […]
No Change In Rates At ECB