Eurozone inflation will hit 1.7pc in 2016 says ECB March 6, 2014 European Central Bank President Mario Draghi has confirmed he sees rates at present or lower levels for an extended period of time, but has opted to do nothing when it comes to taking action. The bank revealed this afternoon that it expects annualised inflation to hit 1.5 per cent in 2016, and 1.7 per cent [...]
A 32-month high for Eurozone economic growth March 5, 2014 Manufacturing and services activity in the Eurozone hit a 32-month high in February, with Markit’s composite purchase managers’ index hitting 53.3. Analysts had expected a reading of 52.7. The Eurozone service sector improved in the month, also beating estimates at 52.6 (expected 51.7, just above January’s reading). The readings, says IHS Global Insight's Howard Archer, [...]
Job growth in UK manufacturing fastest since 2011 as Eurozone activity eases back March 3, 2014 The UK’s manufacturing sector saw strong growth last month, with job creation reaching a 33-month high. Markit and CIPS’ purchasing managers’ index hit 56.9 in February, after analysts forecast 56.5. From Markit’s release: The strong upswing in the UK manufacturing sector was maintained during February, as levels of production and new business continued to rise at robust and [...]
The €400bn question: Will the Eurozone go for QE? February 27, 2014 A Eurozone quantitive easing (QE) programme is now anticipated by BNP Paribas, one of France’s biggest banks. It follows Fathom Consulting, which has been suggesting a similar scheme since January. BNP Paribas suggest the programme would be around €300-500bn (£246-410bn) – small in comparison to schemes in Japan, the UK and US, but a major [...]
EC ups Eurozone growth outlook but slashes inflation forecast February 25, 2014 The European Commission just published its winter economic forecasts, with stronger economic growth and lower inflation projected for most of the Eurozone and EU generally. Growth is stronger in every large European economy except Italy, and still projected to rise in Greece, which would end a recession that has run since 2008. Olli Rehn, the [...]
Eurozone at risk of deflation shock as ECB mulls its options February 24, 2014 Traders still expect policy action next week, but not all disinflation is seen as a problem for the single currency Yesterday’s upward revision to January’s Eurozone inflation reading did little to calm the nerves of those worried about a possible slip into Japanese-style deflation. The harmonised index of consumer prices (HICP) was revised up from [...]
Eurozone consumer confidence slides in February February 20, 2014 Confidence in the economy relapsed in the Eurozone in February. The European Commission’s consumer confidence index fell to -12.7, from 11.7 in January. Analysts had expected things to improve slightly, to 11.25. Across the European Union, January’s reading of -8.8 fell to -9.3 this month. The fall follows weaker Eurozone PMIs, out earlier today. [...]
New orders help buoy Eurozone manufacturing and services activity February 20, 2014 Despite a boost from new orders, figures for manufacturing and services activity in the Eurozone suggests recovery is still fragile, but remains on track. Markit’s so-called flash services purchasing managers’ index (PMI), for manufacturing activity in the Eurozone, was 53 in February – expectations were for that it'd stay at 54. The services activity index [...]
Central bank official: There’s no Eurozone threat from deflation February 19, 2014 A SENIOR European Central Bank (ECB) official yesterday brushed off suggestions that the Eurozone could suffer a period of deflation, going as far as to suggest that low inflation and a relatively strong euro could self-correct this year. Austrian central bank chief Ewald Nowotny also said it was not in the ECB’s remit to perform US-style [...]
Forecasters slash estimates for inflation levels in the Eurozone February 13, 2014 PRIVATE forecasters have slashed their estimates for inflation in the Eurozone this year and next, according to the European Central Bank (ECB). The central bank’s survey of outside projections has become significantly more conservative this quarter, with a 1.1 per cent increase in prices expected this year, and 1.4 per cent next year. At the end [...]