Europe - ECB (May 08 - Dec 25)

[kennynah]

Go along lah bro.

[winston]

Are you excited about EUR 100m, when the numbers that we have been dealing with, are in trillions ?

ECB's costs of bond purchases may reach EUR100M

As cited by the German Der Spiegel from international information of the European Central Bank, the ECB may use EUR70 billion to EUR100 billion to buy bonds this year, if Spanish and Italian bond yields surged.

The above figures were based on the assumption that ECB would purchase 10% -14% of qualified debts.

On the other hand, European Commission also foresees Spain may seek for aid from ESM.

Source: AAStocks Financial News

[kennynah]

i'm a bit tickled by eur100billion bond purchase funds by ecb

[winston]

Big mouth speaks again ...

Mario Draghi Sends Risk Reeling After Exposing Bitter European Truth
by Tyler Durden

It was shaping up like the perfect overnight ramp following yesterday's Goldilocks election result... and then Mario Draghi opened his mouth.

• DRAGHI SAYS DEBT CRISIS STARTING TO HURT GERMAN ECONOMY
• DRAGHI SAYS GERMAN RATES LOWER THAN THEY WOULD BE OTHERWISE
• DRAGHI: CRISIS MAKING GERMAN INTEREST RATES VERY LOW
• DRAGHI SAYS ECB'S OMT IS NOT DISGUISED FINANCING OF GOVERNMENTS - correct: it is quite overt

Germany, which is the economic dynamo of Europe, needs a weaker EURUSD to keep its export economy running.

http://www.zerohedge.com/news/2012-11-0 ... pean-truth

[winston]

ECB Warns Calm Before Storm Ending by Tyler Durden

The European Central Bank warned yesterday that six quarters of recession are eroding the resilience of banks and risk ending what it describes as 'the calmest period in financial markets since 2011'.

As Bloomberg's Niraj Shah notes, the Bloomberg Euro-area Financial Conditions Index has averaged 0.31 this year, compared with -1.47 in 2012 and the measure has only ended in negative territory on three days this year.

However, it has very recently fallen to its lowest in a month as financial CDS begin to rise (even with Mrs. Watanabe's presence) to once again wider on the year.

As The ECB adds, "Financial stability conditions in the euro area remain fragile.

Several vulnerabilities in the interaction between sovereigns, banks and the macroeconomy persist."


http://www.zerohedge.com/news/2013-05-3 ... orm-ending

[winston]

ECB Still Has Room To Cut Rates, Hansson Says- Report

The European Central Bank still has room to reduce interest rates, Governing Council member Ardo Hansson told Bloomberg news agency on Monday.

"The options on rate cuts are still not fully exhausted and there are all kinds of other measures that are still on the table," said Hansson.

"I don't see us, by any means, running out of our toolkit of things we can draw on," he added.

The ECB had lowered its rate by a quarter point to a record low 0.25 percent at the November meeting.

Hansson, who also heads Estonia's central bank said the ECB is technically ready to take the deposit rate to the negative zone.

Elsewhere, another Governing Council member Christian Noyer said there is a risk of low inflation lasting for long time.

Source: RTT

[behappyalways]

The ECB's 3 year loans to banks to buy govt bonds will end in 2014.


The worrying threats that stalk global growth
http://www.telegraph.co.uk/finance/comm ... rowth.html

[behappyalways]

Draghi: ECB will unleash stimulus if euro strengthens further
http://www.telegraph.co.uk/finance/econ ... rther.html

[behappyalways]

ECB holds fire but drops heavy hints
http://money.cnn.com/2014/05/08/news/ec ... ?iid=HP_LN

[winston]

The European Central Bank looks ready to launch new stimulus measures next month.