Davos Day Two — Rouhani, Lew and Lagarde

By Mike Peacock
January 23, 2014

Day one in Davos showed the masters of the universe fretting about Sino-Japanese military tensions, the treacherous investment territory in some emerging markets and the risk of a lurch to the right in Europe at May’s parliamentary elections which could make reform of the bloc even harder.

Why should the Bank of England hike rates when it can baby-step?

January 17, 2014

When the Bank of England decides to start hiking interest rates, it may find that its standard 25 and 50 basis point interest rate moves of old are too blunt a tool for Britain’s delicately-poised economic recovery.

Relief from UK services inflation seen fleeting

January 16, 2014

British inflation dipped to 2 percent  in December – its lowest since November 2009 and within the Bank of England’s target. Part of the move was driven by a fall in prices in Britain’s services sector – which constitutes more than three quarters of the country’s output.

Spain ascendant?

By Mike Peacock
January 16, 2014

Spain appears to be on the road to recovery, if you can call it that with around a quarter of the workforce without a job.

ECB rate cut expectations to be left deflated

By Mike Peacock
January 9, 2014

Euro zone inflation has dropped to just 0.8 percent and the core measure is lower still – at 0.7 percent it has fallen pretty consistently over the last year.

Banking union … timber not steel

By Mike Peacock
December 18, 2013

A day after she was sworn in for a third term and a day before she attends an EU summit in Brussels, Chancellor Angela Merkel delivers a speech in the Bundestag lower house. She will then head to Paris in the evening for a meeting with French President Francois Hollande. That bilateral could be the moment that the seal is set on banking union, in time for the Thursday/Friday EU leaders summit.

Crisis in Kiev

By Mike Peacock
December 2, 2013

Ukraine’s shock decision to turn its back on an EU trade deal continues to reverberate with mass rallies on the streets of Kiev in protest at President Viktor Yanukovich’s decision.

The big questions on the UK housing market: what the analysts say

November 28, 2013

Although UK house prices will head steadily higher in the next two years, analysts polled by Reuters are divided over whether the Bank of England can restrain the market if it overheats. Here’s what they said in the latest Reuters poll, taken this week:

France, Italy compare notes

By Mike Peacock
November 20, 2013

French President Francois Hollande is in Rome for talk with Italy’s Enrico Letta. Both have a lot on their minds.

Brussels looks warily at German surplus

By Mike Peacock
November 13, 2013

Barring a last minute change of heart, the European Commission will launch an investigation into whether Germany’s giant trade surplus is fuelling economic imbalances, a charge laid squarely by the U.S. Treasury but vehemently rejected by Berlin.