European PMIs beat forecasts
The Corner | June 23, 2015 | Despite the Greek drama, the eurozone’s economy is picking up. Eurozone composite PMI jumped to 49-month high of 54.1 in June, according to research firm Markit.
eurozone
Don’t give up on politics!
MADRID | June 18, 2015 | By Luis Martí | The negotiating tactics of the Greek government can only be understood against the backdrop of an impossible set of electoral promises –impossible, that is, unless the government gained access to an unlimited inflow of financial resources from abroad at no charge. This not being the case, President Tsipras has to act within a constrained framework.
EZ profit margins to outperform the US
LONDON | June 16, 2015 | BNP Paribas | The pricing power of corporates is still low at the global level as sizeable excess capacity remains. Nevertheless, it is not all bad for companies.
Want to fix the EU crisis? Get a eurozone budget –change treaties if needed
The Corner | June 5, 2015 | The eurozone needs its own treasury over and above national budgets, one that would not come at the expense of fiscal discipline at the national level. That is the radical shift advocated by Sigmar Gabriel and Emmanuel Macron, move that has been strongly resisted by Merkel throughout the crisis.
ECB seeks “full QE implementation”
MADRID | June 3, 2015 | So far, monetary policy stimulus is working as planned, ECB’s president Mario Draghi insisted on Wednesday, and the bond buying program needs to reach full implementation until September 2016. The central lender rules out any earlier taper and will keep rates on hold.
Euro area: Don’t fight the ECB
LONDON | April 21, 2015 | Barclays | The ECB remains committed to deliver its QE target of a more than €1.1trn balance sheet expansion through asset purchases and sought to dispel fears over asset scarcity.
Drop in Eurozone retail sales amid positive overall demand
The Corner | April 8, 2015 | Retail sales were fell by -0.2% in February after four months of growth, but observers will not be unduly worried following release of data from Markit which indicate that retail sales PMIs rose to their highest level since last November.
Greek government: The moment of truth is inexorably approaching
March 20, 2015 | By Wolfango Piccoli via MacroPolis | The Greek government faces a dire financial situation in the coming weeks, especially as lenders are unlikely to relent on the conditions of last month’s loan extension.
European bond rally may have reached a turning point
LONDON | March 14, 2015 | Barclays | German 10y yield bounced back to 0.248% after touching 0.186% on Thursday, while Italian and Spanish 10y spreads are 10bp above their trough. High yield credit spreads tightened while equities remained close to their cyclical highs. EURUSD is now trading at 1.06 after dropping below 1.05 on Thursday (its weakest level since January 2003). Europe’s IP edged down 0.1% in January, slightly weaker than expectations.
Eurozone inflation gives a respite
The Corner | March 12, 2015 | EU inflation figures have offered a more encouraging picture than was predicted. Month-on-month inflation in the Spanish economy edged up 0.1% in February to 117.82, reversing a trend of four consecutive monthly declines.