European Central Bank correspondent, Frankfurt
Marc's Feed
Nov 21, 2014

World stocks soar as China cut rates, Draghi drives for QE

LONDON (Reuters) – World shares surged on Friday as China surprised markets with its first interest rate cut in more than two years and the European Central Bank’s Mario Draghi threw the door wide open to full scale money printing.

European shares, oil and other growth sensitive commodities all leapt as China’s move to cut rates to 5.6 percent gave markets a welcome lift after a week where data has shown its giant economy heading for its worst year in almost quarter of a century.

Nov 21, 2014

Global shares lifted by U.S. data and Draghi stimulus hints

LONDON (Reuters) – World shares headed for a second week of gains on Friday after more reassuring U.S. data, while the yen pulled out of its dive as Japan’s finance minister warned its recent weakening had been “too rapid”.

Euro zone stocks were set for their first weekly gain this month after an early rise, with traders spurred on by signals from Mario Draghi that the European Central Bank is becoming increasingly agitated by the bloc’s feeble growth and inflation.

Nov 21, 2014

Shares lifted by U.S. data and Draghi stimulus hints

LONDON, Nov 21 (Reuters) – World shares headed for a second
week of gains on Friday after more reassuring U.S. data, while
the yen pulled out of its dive as Japan’s finance minister
warned its recent weakening had been “too rapid”.

Euro zone stocks were set for their first weekly gain this
month after an early rise, with traders spurred on by signals
from Mario Draghi that the European Central Bank is becoming
increasingly agitated by the bloc’s feeble growth and inflation.

Nov 20, 2014

Global shares punctured by two-pronged China, Europe slowdown

LONDON (Reuters) – World stocks extended losses on Thursday as evidence suggested both the Chinese and European economies were slowing, while the yen slid to multi-year lows against the dollar and euro.

The China flash HSBC/Markit manufacturing purchasing managers’ index showed factory output contracted in the world’s second-biggest economy for the first time in six months.

Nov 20, 2014

Shares punctured by two-pronged China, Europe slowdown

LONDON (Reuters) – World stocks extended losses on Thursday as evidence suggested both the Chinese and European economies were slowing, while the yen slid to multi-year lows against the dollar and euro.

The China flash HSBC/Markit manufacturing purchasing managers’ index showed factory output contracted in the world’s second-biggest economy for the first time in six months..

Nov 19, 2014

S&P sounds warning on Chinese property sector, Russian banks

LONDON (Reuters) – Credit rating agency Standard and Poor’s said on Wednesday that China’s over-priced and over-supplied property market and capital-starved Russian banks were likely to face further downgrades in the coming years.

In two new emerging market-focused reports, S&P said Chinese property ratings were likely to be hit more than other large markets in Asia, while like in Russia banks in Turkey, South Africa and Brazil also faced difficulties.

Nov 18, 2014

Ukraine crisis pushing Russia into recession, hits east Europe – EBRD

LONDON, Nov 18 (Reuters) – Russia’s economy looks certain to
shrink next year due to the Ukraine crisis and eastern Europe is
already seeing its weakest growth since the fall of communism 25
years ago, the European Bank for Reconstruction and Development
said on Tuesday.

In its annual Transition Report, the EBRD said Western
sanctions and slumping oil prices meant Russia would probably
suffer a “mild” recession in 2015 after growth of 0.6 percent
this year, while Ukraine would see another big contraction.

Nov 17, 2014

ECB’s Praet: Euro zone credit cycle at turning point

LONDON, Nov 17 (Reuters) – Faint signs of improvement
suggest bank lending and the credit cycle in the euro zone is at
a turning point, European Central Bank policymaker Peter Praet
said on Monday.

Praet, one of the ECB’s six Executive Board members and the
man who oversees its economics department, said that although
lending to firms continued to contract, the decline was
bottoming out while consumer credit growth was also picking up.

Nov 17, 2014

Commodity slump threatens return to “junk” for top emerging nations

LONDON, Nov 17 (Reuters) – Slumping prices for oil and other
commodities and the prospect of rising global interest rates
threaten to return some of the biggest emerging market (EM)
nations to “junk” credit ratings, laying bare many countries’
failure to reform in the good times.

Emerging economies have earned roughly 200 rating upgrades
since 2007, nearly half of them to the top “investment grade”
category but this year Standard and Poor’s has made around a
third more EM downgrades than upgrades.

Nov 13, 2014

Oil below $80 as slow China chimes with OPEC warning

LONDON (Reuters) – Oil fell below $80 a barrel for the first time since 2010 on Thursday, as more evidence of a slowdown in China’s resource-hungry economy chimed with OPEC warning of a substantial drop in demand next year.

Data from Beijing showed below-forecast factory output and investment growth hitting a near 13-year low, reinforcing signs that the world’s second-biggest economy will see its weakest growth for almost 24 years this year.