If the law was the ultimate arbiter, the European Central Bank would have the most verdant of green lights for an unlimited bond-buying programme with new money. In reality, politics and German concerns will dictate.
The European Commission will unveil legislative proposals for its 315 billion euro investment plan and the findings of a public consultation on the investment elements of a planned EU-U.S. free trade deal which could significantly boost growth.
The last day of the year and all is quiet – but not for long.
Unless the price of oil bounces markedly or Vladimir Putin walks away from Ukraine thereby loosening western sanctions – both unlikely – Russia could be heading for a serious economic fall. Reserves are being burned defending the currency. They are sufficient for now but without hefty tax increases, public spending cuts and/or a higher pension age the outlook for 2016 and beyond is much gloomier.
Trying to predict the rouble’s path is a fool’s charter but it’s fairly safe to say it won’t return to a level that will take pressure off the Russian economy. It has opened 2 percent higher versus the dollar in Moscow this morning, mirroring a rise in oil from $60 a barrel.