German June Manufacturing Orders up 4.1% M/m, Driven by Large Orders
ZURICH (MaceNews) – Demand for German manufactured goods rose 4.1 percent in June from the previous month, driven by large orders, the Federal Statistics (Destatis) office in Wiesbaden reported. The result far exceeded expectations, with the median of and Econoday survey of economists’ forecasts calling for a 1.5 percent gain, and reversing the revised decline […]
Italy Buys Time to Clear Ambitious Fiscal Reform, Resources Needed for Tax Cuts – Sources
By Silvia Marchetti ROME (MaceNews) – Italy’s government is expected to clear after the summer break a series of tax cuts to support low earners and struggling firms but needs time to find resources, according to ruling coalition sources. “This is a key fiscal reform which we were hoping to approve before parliament shuts this […]
Eurozone HICP Rises Unexpectedly in July, Exceeding Expectations, Flash Estimate Shows
ZURICH (MaceNews) – Led by double digit growth for energy costs, inflation in the euro-area rose more than expected in July, rising 2.2 percent from year-ago levels, the flash estimate from Eurostat showed. The increase in HICP exceeded expectations for 2.0 percent annual gain, according the median of an Econoday survey of economists’ forecasts. Energy […]
Eurozone Economic Sentiment Increases a Sixth Straight Month, Attaining Record
ZURICH (MaceNews) – Economic sentiment in the countries sharing the euro increased for the sixth consecutive month, reaching a new high, according to data released Thursday by the European Commission. The Economic Sentiment Index (ESI) rose to 119.0 in July from 117.9 in June, beating the median expectation for 118.5 in an Econoday survey of […]
BOE’S Vlieghe Urges Extension of Loose Policy; Sets Stage for Debate at August MPC Meeting
By Laurie Laird LONDON (MaceNews) – A key Bank of England rate setter recommended an extension of loose monetary policy, teeing up what could be a vigorous debate at the next rate-setting meeting, after two officials have publicly made the case for tightening. “I think it will remain appropriate to keep the current monetary stimulus in […]
Germany’s IFO Business Climate Index Unexpectedly Fell in July Amid Supply and Covid Concerns
ZURICH (MaceNews) – A decline in business expectations led to a drop in overall business sentiment, according to the latest report from Germany’s IFO Institute. The Business Climate Index fell to 100.8 in July from a revised 101.7 (101.8) in June, coming in below the median result of 102.3 in an Econoday survey of economists’ […]
Draghi’s Government May Stumble Over Thorny Justice Reform; Ruling Coalition Stability at Risk – Sources
By Silvia Marchetti ROME (MaceNews) – Prime Minister Mario Draghi is facing his first major hurdle since rising to power as coalition differences over proposed justice reform risk destabilizing the ruling coalition, according to party sources. The reform is expected to land in parliament on Monday for initial debate and be followed by the government’s […]
ECB Adds Dovish Tweak To Forward Guidance, Hints at Governing Council Disagreement On Rates
By Laurie Laird LONDON (MaceNews) – The European Central Bank adopted a more dovish tone after its latest rate-setting meeting, but ECB President Christine Lagarde hinted at a lack of agreement among Governing Council members over interest rate policy. Adopting new forward guidance in the wake of a policy review unveiled on 8 July, the […]
Bank of England Rate Setter Warns Against Tighter Policy
— “Economy not fully recovered,” says MPC member Jonathan Haskel By Laurie Laird LONDON (MaceNews) — The UK economic recovery is not sufficiently robust to warrant tighter monetary policy, according to rate setter Jonathan Haskel, placing him at odds with two colleagues who last week advocated for a rethink of extreme monetary accommodation. “My preference at […]
Bank of England Officials Hint at Earlier-Than-Expected Tightening
By Laurie Laird LONDON (MaceNews) — Two Bank of England rate setters have suggested that UK recovery has become sufficiently entrenched to warrant a reduction in monetary accommodation. Forward guidance set at the latest Monetary Policy Committee meetings “no longer rules out tightening,” said external MPC member Michael Saunders, adding that conditions on tightening policy “have […]