MADRID | May 12, 2015 | By Ana Fuentes | Easy money and negative yields are fueling an unprecedented, dangerous bubble: prices of assets, stocks, bonds and houses are more inflated than ever. Central bankers are noting (and warning against) it. Some market makers are following suit and recommend to reduce exposure to risk.
May 8, 2015 | By Benjamin Cole via Marcus Nunes‘ Historinhas | I have plugged for QE-offset or -financed tax cuts for a long time. I did not know that former Fed Chairman and now multi-millionaire consultant Ben Bernanke also explicitly believed in the same thing.
The Corner | April 7, 2015 | Although the eurozone PMI for March was slightly disappointing, confidence reached its highest level since 2007, according to data released on Tuesday.
Asoka Wöhrmann (Deutsche AWM) | Negative interest rates are new economic territory. However, as yet, there is no sign of a major cash exodus to avoid sub-zero yields.
The Corner | March 25, 2015 | By launching its quantitative easing measures, the ECB strongly responded to deflationary pressures in the eurozone. But the combination of policies in the euro area is still incomplete, since fiscal/budget measures are still to be taken, analysts at Pictet commented.
LONDON | By Apolline Menut via Barclays | Euro area “flash” composite PMIs came in stronger than expected, almost reaching a four-year high at 54.1 (+0.8 points). The rise was primarily driven by a surge in manufacturing output (+1.4 points to 53.5), while confidence continued to improve in the services sector (+0.6 points to 54.3).
Intermoney | March 6, 2015 | From 2007-2015, global debt has increased 289% in excess GDP. The rapid increase of global indebtedness and financial asset prices could actually be defined as a global bubble with a major destabilizing factor: the significant surpluses accumulated by certain countries that force others to adopt a deficit position. International liquidity growth has only raised the volume of speculative money flows, which are now able to destabilise any economy, regardless of their economic virtues.
WASHINGTON | March 2, 2015 | By Pablo Pardo | Neil Irwin believes central bankers are the real heroes of the economic crisis that continues to bog down the eurozone. In his book ‘The alchemists’, the New York Times senior correspondent paints Ben Bernanke as a hero and ECB’s Jean-Claude Trichet, as one of the greatest villains.
The Corner | March 2, 2015 | The weekend decision of the Chinese Central Bank to cut benchmark lending and deposit rates by 0.25% is geared towards staving off deflation in the country´s slowing economy.
MADRID | February 27, 2015 | J.J Fernandez-Figares| Link Securities | Efforts by the ECB to inject money into the euro zone are already showing signs of impact as positive M3 figures offer encouragement ahead of March purchases of sovereign bonds.