David Cameron’s long-awaited speech on immigration – which has been billed as his blueprint to win back disaffected Conservatives and others now voting for anti-EU UKIP – will be delivered today.
More cheap loans to banks was the European Central Bank’s answer to boost bank lending to private businesses in the euro zone. But the latest data show credit growth is still contracting and the best some economists came up with is that at least it’s not as bad as it was a year ago when it was shrinking faster.
Two vital gauges of euro zone progress, or lack of it, today.
German inflation for November is forecast to slip to 0.6 percent and will cue up the euro zone figure on Friday, which is predicted to come in at just 0.3 percent. Spanish inflation, due earlier, is forecast to come in at -0.3 percent.
Brazil’s newly-re-elected government is set to announce on Friday that the recession that began at the start of 2014 is now over. But a minefield of risks surrounding Latin America’s largest economy recommends caution before celebration.
New European Commission President Jean-Claude Juncker will unveil his investment plan for the bloc to the European Parliament today which aims to generate 315 billion euros of investment and lift growth onto a higher plane. The details were put out last night and there’s no new money in it. Instead, 21 billion euros of funding is expected to leverage private investment of a whopping 15 times that amount.
Even as the expected date for an eventual interest rate rise in the U.S., Britain and Canada keeps getting pushed further into the future, the outlook for residential housing markets in these countries is also starting to cool.
It’s been more than two years since euro zone banks increased net lending to private businesses. And it’s been nearly half a year since the European Central Bank launched a new plan to turn that situation around.
from Anatole Kaletsky:
For the past five years, Britain has been a haven of political and economic stability amid the turbulence in Europe. No longer.