G7 ministers face full in-tray

By Mike Peacock
May 27, 2015

German Chancellor Merkel talks to Finance Minister Schaeuble during a debate of the Bundestag in Berlin

G7 finance ministers and central bankers gather in Dresden later today for a two-day meeting at an interesting juncture for the world economy.

Will Tsipras spring something in Riga?

By Mike Peacock
May 21, 2015

Greece's PM Tsipras, Malta's PM Muscat, EU Commission President Juncker and France's President Hollande attend an EU leaders summit in BrusselsGreek premier Alexis Tsipras is pinning his hopes on using an EU leaders summit in Riga with eastern European partners from Ukraine, Georgia, Azerbaijan and others to strike the broad outline of a cash-for-reforms deal to stave off default.

EU thinks again on Mediterranean operations

By Mike Peacock
April 23, 2015

Amnesty International volunteers place hundreds of ships with the writing "SOS Europe" on the beach of San Sebastian in Barcelona

EU leaders will hold an emergency summit in Brussels in response to a grimly increasing death toll among migrants trying to cross the Mediterranean from north Africa in search of a better life.

Emerging market stocks look more resilient to a Fed rate hike

April 9, 2015

Members of the Legio X Fretensis (Malta) re-enactment group take part in a display of ancient Roman army life at Fort Rinella in Kalkara, outside Valletta

Expectations may have been pushed to later this year for when the U.S. Federal Reserve will hike interest rates, but a repeat of another steep sell-off in emerging market stocks appears unlikely as much has already been priced in – and because of the stronger dollar.

Currency concerns everywhere

By Mike Peacock
March 24, 2015

A bureau de change operator counts U.S. currency notes in Abuja

Currency concerns in the central banking world have come to the fore again.

Sweden cut interest rates further into negative territory out of the blue last week, fearing its strong currency will engender deflation. The Swiss National Bank said it would aim to weaken what it sees as a “significantly overvalued” franc. And the Bank of England flagged the risk that sterling could strengthen further and leave inflation below target for longer.

Another Russian rate cut?

By Mike Peacock
March 13, 2015

A cashier takes a 500-rouble banknote from a cash register as she serves a customer at the Vinoteka specialised wine and vodka store in Russia's Siberian city of Krasnoyarsk

Russia’s central bank meets having unexpectedly cut its key policy rate in January by 200 basis points to 15 percent, raising a question mark over its independence from political pressure, given inflation rose to a 13-year high of 16.7 percent in February.

Negative inflation to herald QE launch

By Mike Peacock
March 2, 2015

US dollars and euros banknotes are seen in this illustration photo taken at a change bureau in Paris

The European Central Bank is about to start printing money. Euro zone data today will show why.

Davos faces now customary global uncertainty

By Mike Peacock
January 21, 2015

Swiss special police officers observe the surrounding area from atop the roof of Davos Congress Hotel in Davos

The great and good are in Davos facing a rather uncertain landscape yet again (‘twas ever thus for the last seven years).

Ripples from ECB even before it acts

By Mike Peacock
January 20, 2015

Draghi.jpg

The prospect of dramatic European Central Bank action – coupled with the deflationary threat posed by a plunge in the price of oil and the pain it inflicts on oil producing countries – is putting the financial system under growing stress.

No inflation, not much growth

By Mike Peacock
January 6, 2015

A metal sculpture depicting a stock exchange chart is seen in the reception hall of the Athens Stock Exchange in Athens

Euro zone service sector PMI readings for December are unlikely to alter European Central Bank thinking about taking the ultimate policy leap and commencing a quantitative easing government bond-buying programme, possibly at its Jan. 22 meeting.