mynameisandhy Posted August 17, 2012 Author Report Share Posted August 17, 2012 News and Review of European Economic Zone (UK) UK Retail Sales Data relief Sterling Friday, August 17, 2012 Pound soared to its highest level in more than two-week high against the U.S. dollar on Thursday after an unexpected data showed retail sales grew in July. The data support the view that the economy may not be as weak as previously thought. Sterling also reap support from buying an Asian central bank. UK retail sales grew 0.3% in July after rising 0.8% in June, which confront the expected contraction of 0.1% of the economists. "Some recent data, including retail sales and unemployment, has impressed the market and help the Sterling though still remaining concerns over growth," said Chris Walker, currency analyst at UBS. Sterling has appreciated since Wednesday when the UK jobs data released over abik than expected, while the Bank of England meeting minutes showed policy makers is currently discussing the possibility of rate cuts. Apart from strengthening lately, investors seem to still be cautious in buying Sterling following poor manufacturing data and services. With the British economy is plunging deeper into recession, making the chances of further policy easing by the BoE to stay awake for the rest of this year. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 17, 2012 Author Report Share Posted August 17, 2012 News and Review of European Economic Zone (Spain) Spanish Bad Debts Rise Friday, August 17, 2012 Spain re-performing loans as a record of performance deterioration in the property sector and the economy. This course will make investors increasingly worried about the condition of the financial system bailout Spain after Madrid filed a € 100 billion. Non-performing loans rose 9.42% to reach € 164.4 billion for the month of June, worse than the publication of May, also increased 8.95%. Non-performing loans continued to rise since the Spanish real estate bubble burst four years ago. With the economy still slumped in the recession and high unemployment rate is predicted bad debts would continue to grow. This of course will force banks to do more write-and will certainly be bad for the performance of Spanish banks. In the meantime, please register weakening euro thin in New York session. EUR / USD is now trading 1.2353, not far from the level 1.2332 daily low Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 20, 2012 Author Report Share Posted August 20, 2012 (edited) News and Review of European Economic Zone (Greece) Greece Should Stay in the Euro-Zone Monday, August 20, 2012 Greece should remain in the euro zone, given the high cost to be borne and European unemployment rates jump if Greece came out, according to ECB monetary board member Joerg Asmussen. Nevertheless, the ECB's Asmussen also uttered when Greece decided to come out then the effect can be controlled. "Only Greece can decide whether to remain in the euro zone. However the effects of discharge of Greece may not be predictive seoptimis some people," said the ECB's Asmussen when interviewed by the daily Berliner Zeitung. Government officials and members of the German parliament has stressed lack of desire to give Greece more time or easing other in carrying out economic reform policies and tightening budgets. This course will be a discussion before the meeting of foreign Menter Germany and Greece in Berlin today. Although the two foreign ministers are scheduled to give a statement but no discussion is likely to be an opening ahead of Chancellor Angela Merkel and Prime Minister Antonis Samarras on next Friday. Meanwhile, the euro rose on the London session. EUR / USD is now trading 1.2358, 1.2321 daily away from the low level Edited August 20, 2012 by mynameisandhy Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 20, 2012 Author Report Share Posted August 20, 2012 News and Review of European Economic Zone Italian Criticism Bundesbank Monday, August 20, 2012 Italian Industry Minister gave harsh criticism of the Bundesbank's reluctance to support the ECB bond buying program. Italian government, including Prime Minister Mario Monti, was quite vocal in support of the German objections to refute any policies that could reduce the cost of borrowing Italian and Spanish government bonds. "The reluctance of the Bundesbank on the ECB's bond purchase plan does not honor the commitments that have supported the plan. Statement like that does not disturb the harmony and communication lines that ultimately disrupt the market," said Minister of Industry Corrado Passera. In the meantime, please register pelamahan thin euro in the New York session. EUR / USD is now trading 1.2314, 1.2369 daily high level away from Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 20, 2012 Author Report Share Posted August 20, 2012 News and Review of European Economic Zone Upper Limits Apply ECB Bond Plan Monday, August 20, 2012 ECB plans to apply the upper limit of borrowing costs for bond purchase program-euro zone members in trouble, according to Spiegel magazine reports. "The European Central Bank will buy bonds if the yield exceeds the range specified premium over German government bonds. ECB will discuss the plan at the September meeting," wrote the leading magazine in Germany. If the plan is implemented then this may prevent the rise in borrowing costs above the level that can be tolerated by the ECB. The ECB declined to comment on the report. President of the ECB, Mario Draghi, has signaled the central bank bond purchases would enable the program to prevent a surge in borrowing costs further. However, Draghi also reiterate the policy of intervention will only be implemented if there is demand from the euro-zone members. This means that there is a prerequisite that must be performed by the state central bank intervention is desired. Meanwhile, the euro rose on the London session. EUR / USD is now trading 1.2358, 1.2321 daily away from the low level Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 21, 2012 Author Report Share Posted August 21, 2012 Spanish Bond Auction Success Tuesday, August 21, 2012 Spain was able to sell its bonds as widespread expectations that the ECB will carry out policy of intervention in the bond market to reduce the volatility of the debt crisis. Spain managed to get funding € 4.5 billion, reaching the upper range of the target of € 3.5 billion to € 4.5 billion. Borrowing costs are also lower with bond yields for 12 months reached 3.070%, is lower than the previous auction 3.918%. Although the bond auction was pretty good but the low ratio of the bid-to-cover signaled investors are still reluctant to buy up government bonds Spain as it remains unclear whether Madrid would request that the ECB intervene when the central bank has finished preparing its bond purchase program a new one. Meanwhile, the euro rose on the London session. EUR / USD is now trading 1.2406, not far from the level 1.2419 daily high Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 21, 2012 Author Report Share Posted August 21, 2012 News and Review of European Economic Zone Greece probably can Loosening Tuesday, August 21, 2012 Policy to be eased during the Greek Prime Minister Antonis Samaras show sincerity to achieve the targets set as a prerequisite bailout, according to members of the German parliament Norbert Barthle. "I Greek bailout programs also provide for the adjustment of loan rates are lower with a longer duration than the initial agreement," said a spokesman Barthle the party Christian Democratic Union (CDU). "For the current bailout program undertaken Greek can also be adjusted while it is in accordance with the target. Adjustments can be shaped or duration of the loan interest rate." Barthle's comments certainly give a signal that Germany could provide policy space for Greek protracted difficulties in meeting the target due to the economic recession. Samaras has uttered willingness to extend the deficit target of achieving as much as 2 years. Greek prime minister is scheduled to meet with German Chancellor on August 24 and the French President on August 25. Meanwhile, the euro rose on the London session. EUR / USD is now trading 1.2410, close to the level of 1.2419 daily high Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 21, 2012 Author Report Share Posted August 21, 2012 News and Review of European Economic Zone (UK) Order of British Industry Deteriorating Tuesday, August 21, 2012 The global economic slowdown successfully undermined the British industrial orders; This course will signal the decline of the economy is still in recession. Industrial orders index fell to -21 for the month of August, worse than the previous forecast and the publication -8 -6. Sterling looks difficulty maintaining momentum gains after the data was released. GBP / USD is now trading 1.5760, try to avoid high levels of daily 1.5778 "The demand for manufactured products is quite weak in August. Economic situation remains a challenge for the company. Weak domestic demand and a protracted debt crisis will undermine global growth momentum," said Anna Leach, chief economist at the Confederation of British Industry. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 22, 2012 Author Report Share Posted August 22, 2012 News and Review of European Economic Zone Finland Wants Harden European Integration Wednesday, August 22, 2012 The prime minister Jyrki Katainen Finland point out the need for further measures to strengthen the euro, and called for European leaders to tighten integration while strengthening the rules together. "We need further integration and not vice versa," Katainen said at the meeting of ambassadors of Finland. When asked to comment on the statement's foreign minister Erkki Tuomioja that Finland should prepare for the possibility of the dissolution of the euro; Finland Katainen said the main purpose is to strengthen the euro. "We want to keep the euro zone and to enforce stricter regulations are needed by the business community, the labor sector and the stability of Finland," said Kateinen. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 22, 2012 Author Report Share Posted August 22, 2012 News and Review of European Economic Zone (UK) Sterling Optimistic Ahead of Economic Data Wednesday, August 22, 2012 Strengthening of the pound sterling continued to dominate as the Euro rally related expectations the European Central Bank (ECB) to take action to relieve the Spanish and Italian bond yields. Until the European market open on Wednesday (22/08), Sterling (GBP) appears solidly in the range of $ 1.5780 after the previous session shot up to a high of 3 months vs. the USD at $ 1.5803. Anticipation policies to tackle the euro zone debt crisis made investors increasingly optimistic, helping stocks and riskier currencies including Sterling is now stronger. But the rally stalled after data GBP return public finances and the UK manufacturing orders released yesterday deteriorated, prompting investors to sell GBP, including the euro. And today most investors are still optimistic as the market focused on economic data re-fixed mortgage approvals and data trade industry (CBI distributive trade) both of which are expected will emerge better than ever. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 22, 2012 Author Report Share Posted August 22, 2012 News and Review of European Economic Zone Shown Strong Euro Wednesday, August 22, 2012 The single currency Euro seems strong entrenched's area of $ 1.2460 on trading Wednesday (22/08) after a strong rally to penetrate the high range in seven weeks. Session recorded Euro rallied yesterday to $ 1.2488 as investors re-motivated by the view of the ECB (European Central Bank) will act to prevent increases in euro zone borrowing costs. Additionally policymakers officials also will look for ways to maintain Greek in order to stay alive and survive in the euro zone. The focus continues to be on the market now that the ECB will hold its next policy meeting on September 6. In recent weeks, has awakened hopes that the meeting will lead to action that will help lower the yield on Spanish and Italian. Meanwhile, Greek Prime Minister Antonis Samaras will meet with German Chancellor Angela Merkel, French President Francois Hollande and Eurogroup Chairman Jean-Claude Juncker in the coming days. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 23, 2012 Author Report Share Posted August 23, 2012 News and Review of European Economic Zone Euro-zone PMI Still Indicate Contraction Thursday, August 23, 2012 Private business activity in the 17 countries that use the euro currency contracted for seven consecutive months. Preliminary data showed August Markit purchasing managers index of euro-zone only goes up to 46.6, slightly better than the months of July (46.5). Previous consensus of economists estimating the index unchanged in August. This means that private businesses are still contracting activity because it has not touched the expansion threshold level 50. Service sector PMI fell from 47.9 (July) to 47.5 while the manufacturing PMI rose from 44.0 to 4.3. Contraction was spread throughout the euro member states, including Germany and France, the data economy also shrank in August. "When compared together, the PMI in August and July in line with the quarterly decline in GDP of about 0.5% -0.6%," commentator Rob Dobson, senior economist at Markit. Therefore, it takes a significant rebound in September to reverse the decline in performance. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 23, 2012 Author Report Share Posted August 23, 2012 News and Review of European Economic Zone (UK) BoE's Weale Disagree Lower Rate Thursday, August 23, 2012 Further rate cuts can cause adverse effects and weaken the financial condition of banks, according to the BoE's monetary board member Martin Weale. "The decline in interest rates from 0.5% to zero percent or 0.25% can be caused unwanted effects." BoE's Weale said in an interview with the daily Les Echos. This comment is in line with the statement of BoE's King who uttered the decline in interest rates could weaken the position of the business and will not give a significant effect. BoE's Weale also sinyalkan reluctance to loosen monetary policy further, pointing out that inflation is still high. "We give special attention to inflation, especially with rising gasoline and food prices due to severe drought in the U.S.," said Weale. Meanwhile, sterling was still maintaining strength in the London session. GBP / USD is now trading 1.5889, not far from the level 1.5912 daily high Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 23, 2012 Author Report Share Posted August 23, 2012 News and Review of European Economic Zone (Switzerland) Reduced Swiss Economic Pessimism Thursday, August 23, 2012 Swiss economic expectations index rose to its highest level in three months; This is certainly a sign that the economy is stabilizing as exporters try to cope with weak demand from the euro-zone. Economic expectations index reached -33.3 in July; better than previous publications -42.5. It also means the Swiss pessimism on the economy began to decline. Analysts see the success of keeping the lower limit of the SNB EURCHF exchange rate as a positive factor. Swiss central bank has implemented a lower limit is nearly a year and still express a desire to maintain it. Analysts also quite optimistic about the future performance of the Swiss economy. "Economic growth in Switzerland to reach 1.5% for 2012," wrote Credit Suisse report. Meanwhile, the franc weakening thin record in the London session; yet seen trying to reduce attenuation. USD / CHF is now trading 0.9787, try to avoid high levels of daily 0.9799 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 26, 2012 Author Report Share Posted August 26, 2012 News and Review of European Economic Zone (Spain) Spain Discuss Bailout Friday, August 24, 2012 The Spanish government is in talks with its partners in the euro zone about the conditions that are designed to help lower the cost of borrowing, but no decisions were made in Madrid to ask for a bailout. Reuters reported Thursday, citing sources who know the secret of this issue. Preferred choice when informal discussion which saw the euro zone rescue fund to buy Spanish bonds on the main auction, while the European Central Bank will intervene in the secondary market, according to the report. That would be in line with the proposals outlined by ECB President Mario Draghi to help the struggling government earlier this month. According to Reuters, a spokesman for the Ministry of Economy said that Spain is waiting for ECB Governing Council meeting on 6 September, with expectations for further information about the bank's intervention plan. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 26, 2012 Author Report Share Posted August 26, 2012 News and Review of European Economic Zone Germany and France want the Audit Spain Soon Friday, August 24, 2012 German Chancellor Angela Merkel and French President want to see the results of the Spanish banking sector audit immediately. Spain has secured a commitment from the European bailout fund worth € 100 billion, but recent developments also signaled the need for additional bailout funds for the largest economy in the euro zone 4 is. "The issue was also discussed by both the Spanish and European leaders would be better if the audit results immediately known Spanish banking sector," said Merkel's spokesman, Steffen Seibert. However, the Seibert refused to give comment when asked about the possibility of Spain will ask for additional bailout funds. Informants Reuters reported that Spain is negotiating with its partners in the euro-zone prerequisite to lowering borrowing costs of government bonds, and yet until now Spain has not made an official request will need an additional bailout. Meanwhile, the euro weakened on the London session. EUR / USD is now trading 1.2520, close to daily lows 1.2515 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 26, 2012 Author Report Share Posted August 26, 2012 News and Review of European Economic Zone (UK) Related sales drop GBPUSD Samaras-Merkel Meeting Results Friday, August 24, 2012 Long-awaited meeting between Samaras and Merkel has ended, in which the German Chancellor insisted that Greek government will do everything possible to resolve its debt problems and meet the targets set. Besides extension proposal needed fiscal reforms Greece can only be considered after the audit report of the Troika months. This comment has been dragged below 1.5845 GBPUSD pairing, especially after Q2 UK GDP data were reported to have contracted -0.5%, in line with expectations. Technically, intraday bias to bearish testing 1.5815 area - 1.5800, fell again below that area should trigger further bearish momentum towards 1.5775 area. On the upside, resistance near 1.5870 area looks - 1.5890 - 1.5915. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 27, 2012 Author Report Share Posted August 27, 2012 News and Review of European Economic Zone Germany and France will Coordination Policy Monday, August 27, 2012 Ministry of Finance of Germany and France will form a unit that will develop proposals related to the euro-zone fiscal union and banking as, according to Finance Minister Wolfgang Schaeuble. "We will start work in the next few days. I hope that in a matter of weeks, the unit can generate policy recommendations that can be discussed further at a higher level," Schaeuble said after a meeting with French Finance Minister Pierre Moscovici. Schaeuble said the unit will also prepare a proposal that will be discussed at the Eurogroup meeting in order to strengthen fiscal and currency union and accelerate economic growth in the region. The work unit will also coordinate the policy that has been approved by Chancellor Angela Merkel and President Francois Hollande. In the meantime, please register strengthening euro thin on the London session. EUR / USD is now trading 1.2523, try to stay away from daily lows 1.2490 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 27, 2012 Author Report Share Posted August 27, 2012 News and Review of European Economic Zone (UK) Dark! Sterling Stuck in Zone Degradation Monday, August 27, 2012 Until the afternoon session on Monday (27/08) British currency - Sterling still had not moved out of the relegation zone in the area of $ 1.5808 after the release of revised GDP data are in accordance with the expectations of English cuisine at the weekend. GDP figures showed the UK economy berkontrasi of 0.5% in the second quarter, slightly better than the 0.7% contraction in the previous quarter. But for investors, the whole report is still not encouraging, because it refers to the weakness in exports, the decline in consumer spending and investment. This factor is expected to continue to press the UK economy and open up opportunities quantitative easing (QE) by the Bank of England (BOE). Additional QE is considered bad for the currency because it will increase the supply of pounds. Contrary to the U.S. Fed, Bank of England is expected to keep monetary policy at least until the end of this year. Today strengthening of Sterling only able to hit $ 1.5822, still far below the high levels at the end of last week in the area of $ 1.5869 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 27, 2012 Author Report Share Posted August 27, 2012 News and review European Economic Zone (Germany) Bundesbank: Bond Purchases as Drug Effects Monday, August 27, 2012 Head of the German central bank (Bundesbank) more strongly against the discourse of bond purchases by the European Central Bank (ECB). In a statement a few hours ago, Jens Weidmann called the bond-buying program will only give effect dependence for big debtor countries like drugs. He warned that the purchase of the notes by the authorities is a violation of the mandate of the European constitution. "We should not underestimate the effect of the policy, which could potentially lead to addiction for the recipient," denounces Weidmann. Mario Draghi, President of the ECB, will explain in detail about the bond-purchase plan at a meeting of the board of governors next 6 September. The central bank sued over role in handling the crisis that began protracted. Stimulus in the form of the purchase of the notes seen by Draghi as the most objective at this time, but not the case with Germany. Bundesbank still insist on limiting the role of the ECB in the settlement of the crisis. "In a democracy, the right to determine such a comprehensive effort that is parliament, not the central bank," claims Jens Weidmann. The ECB itself is expected to devise a strategy to facilitate policy. One way is to set a target range of yields on bonds bought to make it more secure and sterile from the action of market speculators. Earlier, the ECB has made it clear that they were only able to operate the fund only if the countries had proposed bailout assistance via the euro-zone. But the constitution requires the agreement of all the region's finance minister about it. That is, the action of the central bank depends on the government's political interests involved. Certainty of the ECB bond purchase program will be seen as early as the beginning of next month. The sound of the German counter can be a stumbling block for Draghi and colleagues to execute intentions. Moreover, Jens Weidmann claimed not alone, as some members of the ECB's governing council is also ready to reject discourse. "I'm not sure if I am the only person who bellyache heard the plan," Weidmann closed. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 28, 2012 Author Report Share Posted August 28, 2012 News and Review of European Economic Zone (Spain) Simply Successful Spanish Bond Auction Tuesday, August 28, 2012 Hope of ECB intervention policy helped Spanish bond auction. Madrid managed to get funding € 3.6 billion, exceeding the target of € 3.5 billion when it sold three-month debt tenor. Borrowing costs also eased with the bond yield of only 0.946%, much better than the previous auction which reached 2.434%. Borrowing costs of government bonds in the euro-zone problems have eased lately after the euro zone agreed to allow the ESM bailout fund to buy government bonds in order to placate the turmoil of the debt crisis further. The ECB is now even drafting a bond purchase scheme that may be used in conjunction with the ESM to make policy more effective interventions. Meanwhile, the euro rose on the New York session. EUR / USD is now trading 1.2545, close to the level of 1.2561 daily high Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 28, 2012 Author Report Share Posted August 28, 2012 News and Review of European Economic Zone ECB President Mario Draghi Will Not Attend Jackson Hole Symposium Tuesday, August 28, 2012 President of the European Central Bank (ECB), Mario Draghi will not attend the annual conference of central bank officials in the town of Wyoming, Jackson Hole at the weekend. Annual economic symposium hosted by the Federal Reserve, had not attended by the President of the ECB due to his busy schedule, according to a spokesman for the ECB in an email. Furthermore none of the representatives sent by ECB council members to attend the conference which will begin on Thursday such. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 28, 2012 Author Report Share Posted August 28, 2012 News and Review of European Economic Zone Channeling-Euro Zone Banking Credit Increase Tuesday, August 28, 2012 ECB monetary easing eventually managed to restore the flow of credit in the euro zone; This will certainly give hope of avoiding the euro-zone recession this year. Loan portfolio increased 0.1% for the month of July, better than the 0.1% decline forecast and previous publications are down 0.2%. The euro rose after the news was released. EUR / USD is now trading 1.2549, away from the daily low of 1.2465 However, the rate of credit growth is still low when compared to the ECB's policy that lowers interest rates and injecting liquidity on a large scale since the beginning of 2012. Loans to businesses increased by € 8.06 billion, but credit to households fell by € 7.61 billion. However, credit to the government increased by € 11.56 billion; This is certainly a sign that banks prefer to finance government spending given the yields on offer. The increase in lending is also supported by the increase in the money supply in the euro-zone economy. Indicator of money supply (M3 version) rose an annual 3.8% for the month of July, higher than the predicted 3.3% and 3.2% the previous publication. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 29, 2012 Author Report Share Posted August 29, 2012 News and Review of European Economic Zone (Italy) Italian Retail Sales Up 0.4% Wednesday, August 29, 2012 Summer holidays seemed to work to encourage consumers to shop Italia to increase activity in the month of June. Retail sales rose 0.4% better than the 0.1% decline forecast and the publication of May which increased 0.1%. The improvement in retail sales can certainly give hope Italy can get out of the economic slump. Trying to reduce the weakening euro after the data was released. EUR / USD is now trading 1.2545, try to stay away from daily lows 1.2532 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted August 29, 2012 Author Report Share Posted August 29, 2012 News and Review of European Economic Zone (Greece) Greek Government Agrees to Step Not Saving New Wednesday, August 29, 2012 Greek coalition government until now has not reached a final agreement on the state budget cuts for the next 2 years, according to the statement of the head of the Democratic Party on Wednesday. "Evaluation of the austerity measures have not been fully completed," said Fotis Kouvelis told reporters after attending the meeting 2 hours at the office of Prime Minister. "We are seeking cuts broadly, a discourse which I am about." Greece is struggling to save about € 13.5 billion ($ 16.9 billion) budget for 2013 and those of 2014. The move aims to push its budget deficit to below 3% of GDP within two years, which became part of the bailout agreement with international creditors. The meeting between Prime Minister Antonis Samaras and two coalition partners, Fotis Kouvelis and Socialist Party leader Evangelos Venizelos, held just a few days before the visit of a delegation of international inspectors next week. Quote Link to comment Share on other sites More sharing options...
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