ECB’S KNOT: COVID VACCINE DOES NOT DISPEL ECONOMIC UNCERTAINTY
— Stresses Fiscal Policy Must Undertake Havy Lifting Vs Q4 Downturn By Laurie Laird LONDON (MaceNews) – The rapid development of a Covid vaccine is unlikely to provide a quick fillip to the battered European economy, according to a top European Central Bank official. While welcoming the announcement of positive medical trial results released on […]
ITALY LIKELY TO ‘PRESS PAUSE’ ON MORE DEFICIT SPENDING; DEBT CONCERNS RISE – SOURCES
By Silvia Marchetti ROME (MaceNews) – Italy’s ruling coalition parties are trying to limit further boosting pandemic deficit spending as fears of long-term debt sustainability rise, according to party officials. Despite pledges made in recent weeks to do “whatever it takes” to tackle the COVID-19 second wave and reassure markets, the “intention is to avoid […]
GERMAN ECONOMIC SENTIMENT FALLS SIGNIFICANTLY IN NOVEMBER: ZEW
By Marco Babic ZURICH (MaceNews) – Concerns among investors about the impact of COVID-19 on Germany economy pushed the outlook sharply lower in November, according to the latest report from the ZEW institute in Mannheim. Economic sentiment fell in November to 39.0, down 17.1 points from the October result, and came in below expectations for […]
BOE SUGGESTS UK BANKS BETTER PREPARED FOR SUB-ZERO RATES THAN IN 2009
By Laurie Laird LONDON (MaceNews) – British banks are are sufficiently capitalised to continue lending even if official rates eventually fall below zero, according to two Bank of England rate setters Friday. Negative rates are most effective “when banks’ balance sheets are not under pressure for other reasons,” as was the case during the financial […]
ECB RATE SETTER SEES VALUE IN A SYMMETRICAL INFLATION TARGET
— Bundesbank’s Weidmann refuses to rule out further ECB rate cuts By Laurie Laird LONDON (MaceNews) – A key European Central Bank official Thursday expressed support for symmetrical inflation targeting, and suggested that the Bank could cut rates further into negative territory to lift stubbornly-low Eurozone inflation back to target. A “make-up” strategy that allows […]
ITALY’S CONTE: GOVT TO IMPLEMENT NEW MULTI-TIER COVID RESTRICTIONS
By Silvia Marchetti ROME (MaceNews)- Italy’s government will implement new anti-COVID restrictions in a bid to tackle the second pandemic wave that is rocking the country, Prime Minister Giuseppe Conte told parliament on Monday. “The pandemic is worsening. The government is forced to intervene with new measures through a multi-tier system based on regional contagion […]
EUROZONE OCTOBER MANUFACTURING PMIS HIT TWO-YEAR HIGH
–Germany Accounts For Much Of Rise By Laurie Laird LONDON (MaceNews) — Business activity at European factories accelerated to a more than two-year high in October, according to purchasing managers’ indexes released by IHS Markit on Monday, confirming the European Central Bank’s forecast of continuing industrial strength. The Eurozone manufacturing PMI jumped to 54.8 last […]
BANK OF ITALY’S VISCO: EZ DEFLATION RISK MUST NOT BE OVERLOOKED’
By Silvia Marchetti ROME (MaceNews) – The Bank of Italy governor Ignazio Visco warned on Friday “not to overlook” the risk of deflation in the eurozone even though current deflationary risks are lower than they were six months ago. “The probability of deflation is still very lower, however, the share of operators expecting an inflation […]
ECB TEES UP DECEMBER EASING; LEAVES POLICY ON HOLD AT LATEST MEETING
–Lagarde Leaves Door Open to Earlier Eemergency Meeting If Needed –‘Very Attentive to Exchange Rates’ By Laurie Laird LONDON (MaceNews) – The European Central Bank Thursday pledged to “recalibrate” its monetary policy by the end of the year, but left the door open to an emergency consultation of its rate-setting body should the economic picture […]
ECB LEAVES POLICY UNCHANGED; SUGGESTS DECEMBER EASING
By Laurie Laird LONDON (MaceNews) – The European Central Bank made no changes to its monetary policy at its rate-setting meeting on Thursday, but suggested that a package of easing measures could come before year end. Unusually, the Governing Council’s opened its press release by acknowledging the perilous state of the eurozone economy: “In the […]