FRANKFURT (Reuters) – The European Central Bank has scope to buy more assets as its quantitative easing has been small compared to similar schemes elsewhere, ECB Vice President Vitor Constancio said, adding that Europe also needs the U.S. and Chinese economies to motor ahead.
The asset buys, started in March to lift the bloc out of deflation, helped Europe to weather the Greek and Chinese turmoil but euro area inflation could turn negative again in the coming months so the bank stands ready to increase the size, composition and duration of the scheme, if necessary, Constancio said.
FRANKFURT (Reuters) – A day after Mario Draghi presented a sobering economic outlook for the euro zone, the nervousness coursing through his European Central Bank was underscored by a fellow policy maker.
“There is serious uncertainty at the moment because you don’t know exactly whether this is a pothole on the road or a landslide,” said Ewald Nowotny, the head of Austria’s central bank and member of the ECB’s policy-setting Governing Council, of which Draghi is president.
FRANKFURT (Reuters) – Greece has to pass a review of its bailout program and show a commitment to reforms before the European Central Bank can start buying its bonds as part of the bank’s asset purchase program, ECB President Mario Draghi said on Thursday.
Greece has so far been excluded from the quantitative easing (QE) program due to its low credit rating but it could be admitted through a waiver for bailed-out countries.
FRANKFURT (Reuters) – The European Central Bank cut its inflation and growth forecasts for the euro zone on Thursday and its president said things could get worse.
The bank pledged to beef up or prolong its bond-buying programme if the picture indeed darkened further, although no one on bank’s Governing Council had argued for it now.
FRANKFURT (Reuters) – The European Central Bank is set to cut its inflation forecasts on Thursday but hold back from concrete policy action, promising only to beef up its bond-buying programme if growth and inflation prospects weaken further.
The bank, which left interest rates unchanged in a widely predicted decision, is expected to say the chances of missing its medium-term inflation target have increased due to lower oil prices, weaker growth in China and an appreciating euro.
FRANKFURT (Reuters) – The European Central Bank is set to cut its inflation forecasts on Thursday but hold back from concrete policy action, promising only to beef up its bond-buying program if prospects weaken further.
The bank is expected to leave interest rates unchanged and argue that the chance of missing its medium-term inflation target has increased due to lower oil prices and weaker growth in China.
BRUSSELS/ FRANKFURT (Reuters) – With low price inflation serving as a reminder of the euro zone’s delicate health, the European Central Bank is having to reassure market investors that it can do yet more to help the economy.
Fresh data showed on Monday that inflation throughout the 19-country bloc was just 0.2 percent – illustrating that while the euro zone’s economy is stabilizing, it is doing so only at a very low level.
, Aug 25 (Reuters) – The European Central
Bank’s vice president sought to play down a crash in China’s
stock market, saying the ripple effects may be limited and it
was too early for the ECB to react.
Vitor Constancio made the remarks on Tuesday after China’s
central bank cut interest rates, ratcheting up support for a
stuttering economy and a plunging stock market that has sent
shockwaves around the globe.
BRUSSELS/FRANKFURT, July 27 (Reuters) – The International
Monetary Fund warned on Monday that the euro zone’s prospects
were modest and that more money printing than planned may be
Contrasting the IMF’s relative gloom, however, German think
tank Ifo reported improving confidence the 19-country bloc’s
FRANKFURT/ ATHENS (Reuters) – Greek banks are set to keep broad cash controls in place for months, until fresh money arrives from Europe and with it a sweeping restructuring, officials believe.
Rehabilitating the country’s banks poses a difficult question. Should the euro zone take a stake in the lenders, first requiring bondholders and even big depositors to shoulder a loss, or should the bill for fixing the banks instead be added to Greece’s debt mountain?