European Central Bank expected to tread carefully amid mounting global insecurities

Mario Draghi, the president of the European Central Bank (ECB), is unlikely to give too much away at his press conference this week amid a surge in economic uncertainty. The Italian economist will speak once again following the ECB Governing Council’s rate decision on Thursday, with the bank expected to be cautious to prevent any […]

What can we expect from Mario Draghi at the press conference today at 12:30 GMT

The European Central Bank’s governing council gathers in Frankfurt on Thursday to debate how it plans to wean the eurozone off its €2tn monetary stimulus programme that many credit with saving the bloc’s economy from stagnation. The task facing the eurozone’s 25 monetary policymakers and ECB president Mario Draghi is how to step back from […]

Germany’s Schaeuble urges ECB to start unwinding stimulus this year

The European Central Bank should start unwinding its ultra-loose monetary policy this year, German Finance Minister Wolfgang Schaeuble said in an interview to be published on Friday, adding that it would not be easy. “The European Central Bank will have the tough task of getting out of the ultra-expansionary monetary policy,” Schaeuble told the Sueddeutsche […]

Be careful, when Mario Draghi gives hints

The presidents of the central banks like many politicians, economists and journalists often change their minds. This is why investors must be careful about what they say or wanted to signal. After reducing the interest rate on deposits to -0.4%, Draghi could not be more clear, saying: “We do not expect that we will have […]

ECB solutions and impact on the banks

What a difference a few weeks make. Market sentiment seems to have improved and the fears of imminent recession now appear a touch hasty. But the question of where markets head next continues to depend on policymakers. The market already pricing aggressive action of “Super” Mario Draghi, there’s a risk of disappointment just as there […]

This Is the Real Point of Europe’s Negative Rates

Banks and insurers don’t like it, borrowers are seeing little or no benefit from it and savers and pensioners fear their money is being eaten away by it: The policy of negative interest rates is as unpopular as it is mysterious. The European Central Bank looks likely to cut rates further into negative territory this […]

Will the ECB hold up its ‘whatever it takes’ stance?

With a multitude of problems facing the euro zone, European Central Bank (ECB) chief Mario Draghi last month called on European policymakers to work together to make the region more resilient. Draghi added the central bank was ready to do its part, which many market watchers took to mean that more stimulus is forthcoming at […]

ECB may be running out of stimulus options but France, Spain, Italy are not

The growth of the broad monetary aggregate, M3, slowed to an annual rate of 4.7 percent in December from a recent peak of 5.3 percent in October. That deceleration was mainly a result of a sharp drop in bank credit to the private sector, which contributed only 0.9 percent to the M3 growth, compared with […]