MADRID | All the “Great Depression” stories show how both the governments’ blindness and central banks made the crisis last longer. So it does makes sense that in the current crisis both governments and central banks have been active to take measures, although not necessarily successful and effective. However, the ECB has been less belligerent than other bankers and its members don’t hold homogeneous positions.
SAO PAULO | By Marcus Nunes | “The past few days have made it overwhelmingly clear that the Fed is steering this recovery. That should be comforting; all it has to do is steer things in a more expansionary direction! But it isn’t.”
MADRID | By David Fernández | Foreign investors are showing a sudden interest in assets made in Spain due to, among others, central bank’s last data, Europe’s decision to delay the deficit commitment by two years and international factors such as second-round monetary helicopter launched by the Bank of Japan. Will this trend vanish?
MADRID | By J. M. Campuzano, analyst at Citigroup | During the crisis that began in 2007, capital markets’ weight has been cut to 350% from 450% of the world’s economic output. The past, in terms of depth and worldwide markets liquidity before the crisis, is long gone and will not come back.
ex gf goexback.com How to win back your ex NEW YORK | Hardly ever a small European country's parliamentary election has arisen that much attention in the U.S. Greece's vote on Sunday made the headlines in most American media, which have been following the european entangled crisis for the last months. The White House appeared to be sighing in relief. The worst case scenario for Washington (a quick and messy…
From a Morgan Stanley research note, a cautionary tale on what happens when the US Federal Reserve’s Quantitative Easing tap is closed and, more globally, when central banks stop supporting currently struggling economies in the developed countries. Analysts describe QE termination as one of the main risks of the next stage in the cycle… in Europe, too. “Our analysis of European equities around the first hike by the Fed historically…
By Juan Pedro Marín Arrese, in Madrid | Markets around the world are flooded with huge loads of fresh cash pumped in by central banks. The balance sheets of central banks have tripled since 2008. And yet monetary supply is lagging behind. Don’t put the blame on banks. Their assets are shrinking as a result of the massive reshuffle in credit exposure undertaken by enterprises and individuals. A grim outlook is…