MANNHEIM, Germany, July 17 (Reuters) – German analyst and
investor sentiment dropped for a third consecutive month in
July, a survey showed on Tuesday, providing further evidence
that the euro zone crisis is taking its toll on morale in
Europe’s largest economy.
But the ZEW think tank, which conducts the monthly poll,
said expectations may have now hit bottom and that the outlook
for the rest of the year should prove stable.
FRANKFURT/CASABLANCA, Morocco (Reuters) – Banks slashed the amount of money they parked at the European Central Bank after it stopped paying interest on overnight deposits on Wednesday, but there was no sign they were using it to lend more or buy the bonds of crisis-hit euro zone states.
The unprecedented cut in deposit rates to zero – approved last week – means banks now get nothing for parking cash at the ECB and officials hope that will nurture more interbank lending by encouraging lenders to look for more profitable options.
FRANKFURT, July 5 (Reuters) – The European Central Bank cut
interest rates to a record low on Thursday to breathe life into
a deteriorating euro zone economy and back up measures agreed by
government leaders last week to tackle the bloc’s debt crisis.
The quarter-point cut in the ECB’s main refinancing rate to
0.75 percent was in line with market expectations and followed a
dire batch of economic data that show even euro zone powerhouse
Germany is entering a modest downturn.
FRANKFURT, July 5 (Reuters) – The European Central Bank is
widely expected to cut borrowing costs to a record low on
Thursday to support a deteriorating euro zone economy and
complement measures agreed by government leaders last week to
tackle the bloc’s debt crisis.
Economic surveys released on Wednesday suggested even euro
zone powerhouse Germany is entering a modest downturn and
investors want the ECB to take action. The consensus forecast is
for a 1/4-percentage point cut in its main interest rate.
BERLIN/FRANKFURT (Reuters) – There is nothing to stop the European Central Bank cutting interest rates further, a senior policymaker said on Wednesday, adding to expectations it could act as soon as next week to counter dimming growth prospects and help tackle the euro zone crisis.
Executive Board member Peter Praet’s intervention followed his colleague Benoit Coeure, who said last week cutting rates was an option and one that would be discussed at the ECB’s July 5 meeting.
Jens Weidmann, Christian Noyer, Yves Mersch and the rest of the ECB’s Governing Council might want to start looking over their shoulders - Mario Draghi is now asking school pupils how the bank should set its policies.
Star secondary-school pupils from all over the Europe gathered in Frankfurt on Wednesday to display their monetary policy skills and received high praise from Draghi.
MILAN/FRANKFURT June 20 (Reuters) – A call for euro zone
bailout funds to buy government debt of countries like Spain
and Italy is a long way from being heeded and even if it was, is
unlikely to win over investors unless the European Central Bank
also steps in decisively.
At a G20 summit in Mexico on Tuesday, Italian Prime Minister
Mario Monti proposed the bloc’s two rescue funds intervene to
help his country service its sovereign debt.
MANNHEIM, Germany (Reuters) – German analyst and investor morale sank in June at its fastest rate since October 1998 on worries about the health of the Spanish banking sector and uncertainty over the Greek election outcome, a survey showed on Tuesday.
The main reading from the ZEW think tank’s monthly poll of economic sentiment fell to -16.9, undershooting even the weakest forecast in a Reuters poll of 42 economists. The data adds to signs that Germany, Europe’s paymaster and growth engine, is beginning to feel the bloc’s pain.
FRANKFURT, June 6 (Reuters) – The European Central Bank is
expected to hold back from policy moves when it meets on
Wednesday, instead urging governments to address the euro
zone’s crisis, but it could indicate a readiness to cut interest
rates as early as next month given a weakening economy and
Spain’s banking troubles.
The ECB is widely seen as the only institution capable of
immediate action on behalf of the currency bloc, raising
pressure on the bank to announce new measures after its meeting
- which will be held a day earlier than usual due to a holiday.
FRANKFURT, May 18 (Reuters) – German police said they
detained 400 anti-capitalist protesters in Frankfurt on Friday
for defying a ban on demonstrations against austerity policies
implemented to tackle the intensifying euro zone debt crisis.
The demonstration in the German financial capital was part
of a four-day-long “Blockupy” protest, due to run until
Saturday, against capitalism and swingeing austerity measures.