mynameisandhy Posted February 5, 2013 Author Report Share Posted February 5, 2013 News and Review of European Economic Zone Euro-Zone Services Sector Improves Tuesday, February 5, 2013 Letup worries over euro-zone debt problems seemed to work to assist in improvement of service sector activity. It can be seen from the index of euro zone services sector which rose to 48.6 for the month of January; higher than the predicted 48.3 and 48.3 the previous publication. The euro extended gains after the data was released. EUR / USD is now trading 1.35320, 1.34573 away from daily lows Borrowing costs euro-zone government bonds has fallen problematic since the ECB bond purchase program announced OMT. It certainly can reduce the pressure on the financial sector and will facilitate lending to businesses. Although the euro-zone as a whole will still experience a recession in the first half of 2013, but remained optimistic ECB economic conditions will improve in the second half. Quote Link to comment Share on other sites More sharing options...
Guest FloridaTrader Posted February 6, 2013 Report Share Posted February 6, 2013 hi all im new to this site and just want to introduce my self Stuart, no need to flood the forum in every thread...once is enough Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 6, 2013 Author Report Share Posted February 6, 2013 News and Review of European Economic Zone Portugal & Ireland Ask for Help Extras from the ECB? Wednesday, February 6, 2013 Ireland and Portugal were targeted additional funding from the European Central Bank (ECB) to be able to re-access the bond market in full. Two German media reports said today, after citing an unnamed source. Portugal asked the ECB to enable the bond-buying program, known as the Monetary Outright Transactions (OMT). The government wants to rebuild investor confidence in the economy and the Iberian country's ability to pay. Unfortunately, the daily Handelsblatt writes 23 members of the main board of the ECB has rejected the purpose of using OMT fund to help troubled nations who want to return to the bond market. Late last month, Secretary of the Ministry of Finance of Portugal, Maria Luis Albuquerque said the government has not received a copy of the provisions of the OMT program. This statement came after Portugal's successful bond release a 5-year tenor in his debut in the debt market. Since nearly two years ago, the state can not enter into the bond market in accordance with the European bailout. Portugal still want to learn the provisions in the articles of OMT before deciding on further steps. While media Die Welt also said Portugal is planning to ask for an extension of the loan payment due ESM permanent post as much as 10 to 15 years. This step was taken so that the government could settle the payment with a more 'smoothly' while recovering domestic economy. If the news is true, then Portugal still have to wait for approval of the German parliament. This process is believed to be held tough considering the past two years, lawmakers in Europe's biggest economies have tolerated the government's role in the European recovery effort. Moreover, Germany soon hold elections in September. Parliament and government officials are unlikely to take bold steps related to the use of public tax funds. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 6, 2013 Author Report Share Posted February 6, 2013 News and Review of European Economic Zone (Germany) German Manufacturing Orders Up Wednesday, February 6, 2013 Letup European debt problems seem to successfully increase the activity of the German industrial sector in late 2012. It can be seen from our manufacturers which rose 0.8% for the month of December; according to predictions, but better than the previous publications which fell 1.8%. Euro seen trying to muffle weakening further after the data was released. EUR / USD is now trading 1.35309, try to stay away from daily lows 1.35120 Borrowing costs of government bonds in the euro-zone problems have eased in recent months and it certainly can reduce the cost of capital for businesses. Although the euro-zone economy will remain weak in the first half of 2013, but the ECB is optimistic that economic activity will improve in the second half later. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 7, 2013 Author Report Share Posted February 7, 2013 News and Review of European Economic Zone (UK) Keep BoE Interest Rate 0.5% Thursday, February 7, 2013 Back BoE kept interest rates at the level of 0.5% and the asset purchase program at £ 375 billion in the February meeting. This is according to predictions and unchanged from the previous meeting in January. Sterling did not change much after the data was released and apparently still struggling to maintain momentum reinforcement. GBP / USD is now trading 1.5715, try to stay away from daily lows 1.5644 The threat is now looming recession the UK economy does not seem to be enough to force the central bank to provide more stimulus to the February meeting. BoE Meeting Minutes show in January, part of central bankers did not see a significant impact from the additional stimulus and worried about the stability of inflation above the target of 2%. Nevertheless, the BoE stands ready to provide additional stimulus if needed especially with the economic outlook remains grim. "The economic recovery will be slow, but the recovery will be sustained. Was the decline in economic activity and the risk of inflation is still going up in the near future. Central bank is prepared to provide additional stimulus if needed," the BoE said in a statement released after the Bank of England keeping interest rates at low levels 0.5%. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 7, 2013 Author Report Share Posted February 7, 2013 News and Review of European Economic Zone Dragi Face Pressure Euro Thursday, February 7, 2013 Mario Draghi ready to face the market sensitivity of the measures to be taken related to the strengthening of the euro and the ECB's association with Italian banking scandal Thursday, at a monthly meeting when the ECB will certainly hold the interest rate fixed or unchanging. Investors will monitor the extent to which the strengthening euro had strengthened before it stoked fears the ECB, or otherwise that would trigger cuts in interest rates, a scenario that shows the realization of the plan will not be this Thursday. The euro has risen to a 14-month high against the U.S. dollar this year, although this was down on Wednesday, with traders who became aware that Draghi will express concern about the strengthening Euro. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 7, 2013 Author Report Share Posted February 7, 2013 News and Review of European Economic Zone (Germany) German Industrial Production Up Thursday, February 7, 2013 Letup euro-zone debt problems and the continuing momentum of economic growth in Germany seems to have a positive impact on the industrial sector. German industrial production rose 0.3% for the month of December; better-than-forecast 0.2% and -0.2% prior publications. Euro still retain gains after the data was released. EUR / USD is now trading 1.3568, close to the level of 1.3576 daily high German Economy Ministry and even optimistic industry activity will continue to recover in the coming months. "The increasing demand for manufactured goods and improving business sentiment could imply immediate end weakness in the industrial sector," according to the German Economics Ministry statement. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 9, 2013 Author Report Share Posted February 9, 2013 News and Review of European Economic Zone Germany: Euro Not Overvalued Friday, February 8, 2013 Germany reaffirmed that the euro exchange rate is not overvalued (expensive) and see the euro as compensation for the sharp weakening over the euro-zone debt crisis. "Berlin believes exchange rates should reflect economic fundamentals and devaluation is not a way to boost the competitiveness because it will make imports expensive and hurt the purchasing power of consumers," said German government spokesman, Georg Streiter. "The euro is not overvalued. Strengthening of the euro is only compensated for the drastic weakening during the debt crisis. This shows that market confidence in the euro has returned." Germany seems to want to show different views of the French against the euro. France has shown objection if the euro continues because it can hurt the performance of its economy. The euro will be one topic of conversation in the EU summit that took place today and the Eurogroup meeting at the beginning of next week. Meanwhile, the euro has not changed much in the New York session. EUR / USD is now trading 1.3393, a daily close to opening levels 1.3395 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 9, 2013 Author Report Share Posted February 9, 2013 News and Review of European Economic Zone European budget € 960 Billion May Reach Friday, February 8, 2013 EU leaders are still reviewing the budget proposals worth € 960 billion for the period 2014-2020. The proposal is reasonably accommodate the desires of the UK and the Netherlands who want austerity budgets and the desire of France and Poland who want subsidies to agriculture and infrastructure. "We're pretty confident the proposal will be approved," said European officials who attended the discussion at the EU summit told Reuters. "Details of the budget will be discussed, but a deal could be reached today. The budget is € 12 billion lower than the proposal in November. However, even if the budget is approved by the leadership of the European Union but must also get approval from the European Parliament. Meanwhile, President of the European Parliament have insisted will not accept budget cuts that are too excessive. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 9, 2013 Author Report Share Posted February 9, 2013 News and Review of European Economic Zone European Leaders Agree on Long-Term Budget Friday, February 8, 2013 President of the European Council said that European Union leaders on Friday reached agreement on a long-term budget plan until the end of this decade. "Agreement has been reached," said Herman Van Rompuy, who chaired a meeting of 27 European Union leaders, who said in a Twitter. This agreement will set the EU budget for seven years in the period 2014-2020, setting a ceiling of 960 billion euros for various allocation. The agreement will now be heading the European Parliament for final approval, a process that could take months. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 11, 2013 Author Report Share Posted February 11, 2013 (edited) News and Review of European Economic Zone ECB's Asmussen Confident Cyprus Will Get Bailout Monday, February 11, 2013 ECB's Asmussen sure Cyprus will receive bailout funds by the end of next month. "Assistance to Cyprus will be available by the end of March," said the monetary council members, Joerg Asmussen, told the daily Handelsblatt. "German politicians should not delay a decision on Cyprus until German elections in September." There should be no doubt about Cyprus. If Cyprus does not get help then Cyprus can have default. " In the meantime, try to reduce the weakening euro in early New York session. EUR / USD is now trading 1.3394, try to stay away from daily lows 1.5676 Edited February 11, 2013 by mynameisandhy Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 11, 2013 Author Report Share Posted February 11, 2013 News and Review of European Economic Zone (Spain) Spanish bond sales drop ahead of the European summit Monday, February 11, 2013 Spanish government bond 10-year slipped for the first time in three days before ministers from 17 European countries met today in Brussels to discuss aid for Cyprus and Greece suffered amid signs the crisis in the region. Italian bonds also weakened. And the 10-year German bonds down to the lowest level in two weeks, as the condition of the elections in Italy and Cyprus were beginning to threaten peace in the market, as is starting to look berkuranganya demand for German bonds in 2013. "Volatility is slightly increased, and we get problems in some euro zone countries," said Patrick Jacq, a senior analyst at BNP Paribas SA in Paris. " Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 11, 2013 Author Report Share Posted February 11, 2013 News and Review of European Economic Zone European budget € 960 Billion May Reach Monday, February 11, 2013 EU leaders are still reviewing the budget proposals worth € 960 billion for the period 2014-2020. The proposal is reasonably accommodate the desires of the UK and the Netherlands who want austerity budgets and the desire of France and Poland who want subsidies to agriculture and infrastructure. "We're pretty confident the proposal will be approved," said European officials who attended the discussion at the EU summit told Reuters. "Details of the budget will be discussed, but a deal could be reached today. The budget is € 12 billion lower than the proposal in November. However, even if the budget is approved by the leadership of the European Union but must also get approval from the European Parliament. Meanwhile, President of the European Parliament have insisted will not accept budget cuts that are too excessive. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 12, 2013 Author Report Share Posted February 12, 2013 News and Review of European Economic Zone SNB's Jordan Strengthen Euro Tuesday, February 12, 2013 The euro rose after the SNB's Jordan says the Swiss franc will continue weakening against the euro. "Determination of the lower limit of the exchange rate of EUR / CHF is still the instrument sufficient to guarantee price stability. SNB will take further action if needed," said Chairman of the Swiss National Bank. Thomas Jordan. EUR / CHF rose from 1.2308 to 1.2353 after SNB's Jordan comments and was successful in restoring the performance of the euro. EUR / USD is now trading 1.3445, moving away from a daily low of 1.3362 Sentiment towards the euro was also improved after the G-7 affirmed commitment to market-based exchange rate. The commitment of the G-7 is certainly intimated that France is not too demanding to regulate the movement of the euro. France is a member of the G-7 and had uttered criticism of the euro that occurred in recent months. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 12, 2013 Author Report Share Posted February 12, 2013 News and Review of European Economic Zone (UK) UK Inflation Above Target Still BoE Tuesday, February 12, 2013 Rising prices for energy products and rising import prices managed to keep UK inflation remained above the target of the Bank of England. Inflation (consumer price index) grew 2.7% annual UK for the month of January; unchanged from previous publications and is still 2.7% above the BoE's target of 2%. However, it is still lower than the estimated 2.8%. Sterling remains weak after the data was released. GBP / USD is now trading 1558, moving away from a daily high level 1.5667 Last BoE Minutes show central bank is likely to remain tolerate inflation above target for the UK economy remains weak. BoE will release its economic growth forecast and inflation England on Wednesday. Other data released at also signaled persistently high inflationary pressures in the coming months. Annual retail price index show growth of 3.3%, higher than the 3.1% in December publication. Monthly input price index showed growth of 1.3% in January; higher than previous publications 0%. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 13, 2013 Author Report Share Posted February 13, 2013 News and Review of European Economic Zone (UK) Comments Hit Pound BoE Governor Mervyn King Wednesday, February 13, 2013 Sterling fell to a six-month low against the U.S. dollar on Wednesday after the governor of the Bank of England (BoE) Mervyn King stated that the MPC board members are preparing additional measures to stimulate the economy. Signal that the economic downturn could be useful for the UK economy released by Mervyn King at a press conference in conjunction with the release of the BoE quarterly inflation report is successfully weakening pound nearly 1% against the dollar, and reached 1.5535 intraday lows. GBPUSD pairing observed so far down -0.60% at 1.5568, after reaching its highest point at 1.5687 and intraday lows at 1.5535 daily. Technically, intraday bias remains bearish, but it takes consistent penetration below the 1.5525 area to trigger further bearish momentum towards bearishnya targets at 1.5445. On the upside, resistance near 1.5630 area looked at, turned back above that area could bring the price to a neutral zone to test the possibility of further resistance at around 1.5675. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 13, 2013 Author Report Share Posted February 13, 2013 News and Review of European Economic Zone (UK) BOE King: A Strict Policy to Keep Recovery Wednesday, February 13, 2013 Bank of England Governor Mervyn King on Wednesday indicated that the agency probably will not start its monetary policy as soon as possible, arguing that such a move could menjauhan economic recovery is fragile. In its quarterly inflation report, the bank raised its forecast for inflation, suggesting the possibility of an inflation target of 2% for the projected two-year period will be increased while the economy is expected to register a slower growth. In his press conference, King said that policy tightening in an effort to bring inflation on target over the medium term is risky because it could "exacerbate the recovery" and lead to lower inflation in the short term. King said that the committee bank's monetary policy makers will continue to see this temporary condition, although a prolonged period of high inflation has supported the growth and employment, "as long as the cost of land and price pressures remain subdued. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 13, 2013 Author Report Share Posted February 13, 2013 News and Review of European Economic Zone Euro Zone Industrial Production Up Over Economic Recovery Wednesday, February 13, 2013 Production at various factories euro zone rose for the first time since August last year as an additional signal that the area is slowly emerged from recession. Reports on industrial production 17 countries that use the euro single currency rose 0.7% in December from the previous month, according to EU statistics agency report, Eurostat on Wednesday. This report exceeds economists' expectations for a 0.2% rise in December than in November. Most visible growth of the consumer-goods which rose 2.0% in December. While the production of machine tools to manufacture other equipment rose 1.3%. Germany, which is Europe's biggest economy recorded a growth of industrial production by 0.8%. However Euro zone industrial production in December was down 2.4% compared to December 2011. Economists expect the euro zone to recover from the recession in 2013. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 14, 2013 Author Report Share Posted February 14, 2013 News and Review of European Economic Zone (France) France Recession Risk Log Thursday, February 14, 2013 Aligned with Germany, the country's second biggest economy, France also reported an economic contraction in the fourth quarter. The contraction was in line with cuts thousands of jobs in France. The country is at risk of entering the first recession since 2009. 4 th quarter GDP fell 0.3% France 0.1% rise compared with the previous quarter. The result was worse than economists' predictions of 0.2%. France experienced deterioration due to the region's debt crisis. Hollande Government is facing a decline in manufacturing activity and exports as well as high unemployment. Last year, France had the second largest trade deficit in history. While the unemployment rate has now reached its highest level in 15 years. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 14, 2013 Author Report Share Posted February 14, 2013 News and Review of European Economic Zone (Italy) The Italian Economy In Recession Thursday, February 14, 2013 3 esesi largest economy in the euro zone as the decline in activity in all sectors of the economy. Italian GDP contracted -0.9% for the fourth quarter of 2012; worse than forecast -0.6% and -0.2% in the third quarter publication. This is a sequential six quarters of economic contraction and certainly not good news ahead of elections next February 24 to 25. The euro continued weaker after the data was released. EUR / USD is now trading 1.3389, moving away from a daily high level 1.3454 Although the Bank of Italy has been able to point out the economic recession ended in summer 2013, but there is an element of high uncertainty that overshadows the Italian economy. The next Italian leaders must convince the world that Italy will not be the victim of the euro zone debt crisis and the subsequent need to persuade people to continue economic reforms to pull out of recession. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 14, 2013 Author Report Share Posted February 14, 2013 News and Review of European Economic Zone (Netherlands) Dutch fall into the gap Recession Thursday, February 14, 2013 Dutch economy falling back into recession in the fourth quarter of 2012 as the decline in investment activity and household consumption. Dutch GDP contracted -0.2%, worse than the predicted -0.3% and -1% in the third quarter publication. This is the third resei to face the Netherlands since 2009. The euro weakened in the London session. EUR / USD is now trading 1.3375, moving away from a daily high level 1.3454 The Netherlands is one of the strong economic performance of the euro-zone's largest economy but the 5 in the euro zone worsened due to the slow growth in exports and a decline in activity in the housing sector. The fall in house prices have undermined household wealth, forcing consumers to cut budgets. Some economists even predict the Dutch economy will remain weak until the second half of 2013. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 16, 2013 Author Report Share Posted February 16, 2013 News and Review of European Economic Zone Weidmann: ECB Will Not Cut Interest Rates to weaken Currencies Friday, February 15, 2013 European Central Bank council member Jens Weidmann said that the strengthening of the euro that runs by itself will not lead to cuts in interest rates and a strengthening of the currency exchange rate is justified by the economic outlook. The strengthening of the euro is one factor of many other factors in determining future levels of inflation and "we will make sure that does not justify a variety of monetary policy simply by just one factor," Weidmann said in an interview on February 13. "I believe that the euro exchange rate is broadly in line with fundamentals. You can not really say that it is too high euro is rated as a serious problem. " His comments came as the central bank officials and chief financial officer of the G-20 meeting in Moscow today amid speculation the currency war. Looser monetary policy in the U.S. and Japan combined with growing optimism in Europe has pushed the euro to its highest level in 14-months and the highest level in 3-year low against the dollar and yen earlier this month. The single currency fell 2 cents since ECB President Mario Draghi said on February 7 that the appreciation would pose a risk reduction, he hinted might consider cutting interest rates. "I do not think that Mario Draghi tried to talk about the rise or fall of the euro," said Weidmann, he added that the ECB "will distance themselves from manipulation or directly target the exchange rate." Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 16, 2013 Author Report Share Posted February 16, 2013 News and Review of European Economic Zone (France) Paris Must Cut Budget Deficit Friday, February 15, 2013 ECB's Asmussen called on Paris to cut its budget deficit to 3% of GDP for 2013. Asmussen believes Paris and Berlin should be an example in bringing stability and growth pact of the EU. "It is essential that the French achieve budget deficit target of 3% for 2013," said ECB board members, Joerg Asmussen. French Prime Minister, Jean-Marc Ayraut, had earlier said the economic slowdown means Paris will fail to cut its budget its deficit from 4.5% of GDP in 2012 to 3% of GDP by 2013. European Commissioner, Olli Rehn, has pointed to the euro-zone finance ministers that the target date for achieving the deficit target can be eased if the economic outlook deteriorates. Meanwhile, the euro weakened on the London session. EUR / USD is now trading 1.3315, moving away from a daily high level 1.3392 Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 16, 2013 Author Report Share Posted February 16, 2013 News and Review of European Economic Zone ECB: € 3.79 billion LTRO Will Fund Refunded Next Week Friday, February 15, 2013 Euro zone banks plan to return approximately € 3.79 billion ($ 5.07 billion) loan obtained through the Long Term Refinancing Operation (LTRO) next week. This figure is slightly lower than expected European Central Bank. The ECB previously estimated around € 5 billion if the loan will be returned by 9 banks next week, after 21 banks to do the same this week. A total of 523 European banks have made use of long-term loans from the ECB liquidity operations first phase in December 2011, and they have the option to begin to repay the loan after one year. So far the ECB has received a return of € 149.43 billion, or nearly 31% of the € 489 billion of liquidity which is distributed in December 2011. ECB itself mash declined to provide details about the banks that have paid off the loan, though most analysts expect the greatest return on loans made by banks of France and Germany who have a level of capital adequacy is relatively more comfortable. Quote Link to comment Share on other sites More sharing options...
mynameisandhy Posted February 18, 2013 Author Report Share Posted February 18, 2013 News and Review of European Economic Zone Current Account Surplus Decreases Euro-Zone Monday, February 18, 2013 Increasing the flow of capital out of the euro zone have reduced current account surplus at the end of 2012. Current account surplus of the euro-zone only reached € 13.9 billion for the month of December; less than the predictions of € 15.3 billion and the revised publication November € 15.9 billion. Current account (current account) is one indication of how much external financing needs of the region. The trade surplus continues to rise and this is certainly good news for the euro zone hit hard in the recession. However, there are indications of a trend change to the flow of capital. There is a flow of funds out of the euro zone as much as € 21 billion in the month of December 2012; worse than the November publication record capital inflows of € 30 billion. Meanwhile, the euro looks difficult to continue the momentum of strengthening in the London session. EUR / USD is now trading 1.3341, try to avoid high levels of daily 1.3378 Quote Link to comment Share on other sites More sharing options...
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