[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 […]
[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 […]
[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).
[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 […]
[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 […]
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.
[credit provider=”ECB” url=”http://www.ecb.int/press/tvservices/webcast/html/webcast_120906.en.html”] Just posted on the ECB’s website:6 September 2012 – Technical features of Outright Monetary Transactions
[credit provider=”ECB”] You can see below for our liveblog of what just happened at the ECB press conference, but here’s our summary of what just happened, and why it was so significant.
Whoa! Crazy timing!
[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:
[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.
[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.
[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 […]
[credit provider=”AP”] We’ve been talking a lot about today’s announcement from the European Central Bank for some time, but surely there are plenty of people who haven’t tuned in from the beginning and want to know what all the hype is about.
[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 […]
[credit provider=”AP/Michael Probst”] “SMP 2.0“That’s the term Goldman is going with to describe the new ECB bond buying scheme that will likely be announced tomorrow.
[credit provider=”flickr / ConvergÃ¨ncia DemocrÃ 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 […]
[credit provider=”Ralph Orlowski / Getty Images”] Various key actors in the eurozone – like the German leadership, for example – are increasingly agreeing that the best way out of the euro crisis is for the ECB to step in and really clean things up. Markets have been incredibly subdued over […]
AMSTERDAM (Reuters) – German Central Bank President Jens Weidmann is completely isolated in the European Central Bank in his opposition to buying government bonds, a Dutch newspaper reported on Tuesday, citing unnamed sources.
Sept. 3 (Bloomberg) — German Finance Minister Wolfgang Schaeuble warned against placing too much faith in the European Central Bank’s bond-buying plans as pressure grows on Spain and Italy to decide whether to seek assistance to lower borrowing costs.
Welp, that was fast.
[credit provider=”flickr / ConvergÃ¨ncia DemocrÃ 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 […]
[credit provider=”(Photo by Sean Gallup/Getty Images) “] * Buba declines comment on report Weidmann mulled quitting* Draghi skipping Jackson Hole to broker deal on bond plan
[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 […]
Morgan Stanley put together a slide with a summary of all of the potential policy announcements by Mario Draghi at the ECB’s highly-anticipated September 6 meeting.
[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 […]
[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.
[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 […]
[credit provider=”Denis Doyle/Getty Images”] The month of September is jam-packed with event risk in Europe.September 6 is the next ECB meeting, and investors are pinning all their hopes on the central bank unveiling a bond-buying plan to aid countries like Italy and Spain who are facing high borrowing costs to […]
Merkel said that Greece was going to stay in the Euro on Friday:
[credit provider=”(Photo by Sean Gallup/Getty Images) “] Bundesbank president Jens Weidmann is really starting to lose friends over his stance on ECB policy. He’s long been opposed to the central bank buying government bonds on the open market, which in the last few days has become the action plan of […]
[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 […]
[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 […]
[credit provider=”Ralph Orlowski / Getty Images”] Reuters is reporting today that the European Central Bank is making progress toward a bond market intervention program that would help stabilise government funding costs in troubled euro nations like Spain by forcing bond yields into a determined trading band.Via Reuters:
[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 […]
[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 […]
Earlier we wrote about how the crucial German faction inside the ECB may be coming around to agreeing to the idea of targeting bond yields of troubled countries in the eurozone, bailing them out by forcing their government funding costs lower.
[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 […]
[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.
[credit provider=”Ralph Orlowski/Getty Images”] The buzz all weekend was the Der Spiegel report about the ECB planning to implement a scheme whereby peripheral borrowing costs would be capped in some manner.The report suggested that such a scheme could be unveiled at the ECB’s September 6 meeting.
[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.
The euro has given up its gains for the day on headlines about the German bundesbank not being happy about the ECB buying peripheral debt to depress yields.
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.
And here’s the intraday change on the yield of the Spanish 2-year bond, via Bloomberg.
[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 […]
[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 […]
Investors continue to debate the importance of European Central Bank President Mario Draghi’s promises to “do whatever it takes” to save the euro.
[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 […]
[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 […]
[credit provider=”Bloomberg TV”] Markets rallied after European Central Bank president Mario Draghi said he would do “whatever it takes to preserve the euro”.They also promptly sold off after announcements from the ECB, the Federal Reserve, and the Bank of England.
[credit provider=”AP/Riccardo De Luca”] The next big European Central Bank (ECB) effort to lower interest rates may not happen in the sovereign bond or bank funding markets like many have been hoping for and expecting.Rather, they might happen in the market for non-financial corporate bonds.
[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:
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 […]
[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.
[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 […]
[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.
[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 […]
[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 […]
[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 […]
[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 […]
Goldman Sachs is doing a bit of what they call “volatility reconnaissance.”
Last weeks comments by Mario Draghi in which he claimed that he would do ‘whatever it takes’ to save the Euro has markets expecting action.
[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 […]
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 […]
[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 […]
[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.
[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 […]
FRANKFURT, Germany (AP) — Banks have drastically cut the amount of money they hold overnight at the European Central Bank after it cut the interest rate on those deposits to zero in a push to get them lending more.
[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 […]
If you’re just waking up from a post-July 4 hangover, you’ve already missed an incredibly busy morning with significant implications for the global economy.
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.
[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.
[credit provider=”AP”] The ECB makes its latest interest rate decision at 7:45 AM ET.Via Nomura, here’s what people expect…
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.
[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.
According to a new poll conducted by IPSO, a union at the European Central Bank, staffers are complaining of stress and that they are being overworked. This is according to an the AFP via tweets from the WSJ’s Simon Constable and Bloomberg’s Linda Yueh.
[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.
[credit provider=”Bloomberg”] Hedge fund manager Bill Fleckenstein states in a column on MSN Money that given the stage at which the European Monetary Union has arrived in the crisis of the common currency, the big problem right now is that the European Central Bank is “unwilling to use the printing […]
[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 […]
Richard Koo wrote yesterday that basically you really can’t blame countries like Greece for their own competitiveness problem. It was all ECB’s fault.
[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 […]
Great note from Nomura’s Richard Koo, looking at the so-called “competitiveness problem” of the Southern European nations.
[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 […]
[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 […]
Despite tentative hopes from investors, the European Central Bank decided to keep rates steady at 1.00 per cent in their highly anticipated monetary policy decision today.
[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:
[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 […]
Big morning for the precious metals, as traders sense the world’s central banks leaping into action.
[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 […]
[credit provider=”KRO-Media via Flickr”] Greece is now in a two-week polling blackout.And we just got digested an insane volume of economic data this past week, which means we’re going to head into something of a data lull.
[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.
Controversy in the world of Spanish bank recapitalizations.
[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 […]
[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 […]
[credit provider=”AP/Riccardo De Luca”] All the politicians in Greece (even the mainstream ones) have said they want to renegotiate the bailout agreement.If the rest of Europe doesn’t back down and agree to this, then the ECB will have to make a huge decision.
BAML is out with a monster report today detailing a couple different scenarios for how a Greek exit from the euro will likely shake out as well as a comprehensive look at the effect it will have across asset classes given different policy responses to such an event.
A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete fools.
European Central Bank president Mario Draghi spoke from Barcelona today following the bank’s latest monetary policy decision.
[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 […]