Europe Economics Update Iceland’s Sedlabanki holds rates but will hike later this year Iceland’s central bank left its main interest rates on hold today as it waits to judge the outcome of the ongoing wage negotiations. But with labour market tensions growing and the Sedlabanki raising... 18th March 2015 · 1 min read
Nordic & Swiss Economics Update Krona’s rise forces Sweden’s Riksbank to ease policy again The Swedish Riksbank unexpectedly loosened monetary policy further today, citing the deflationary risks from the stronger krona, and said it was prepared to do more if needed. With the ECB’s QE likely... 18th March 2015 · 1 min read
Nordic & Swiss Economics Update Iceland’s Sedlabanki holds rates but will hike later this year Iceland’s central bank left its main interest rates on hold today as it waits to judge the outcome of the ongoing wage negotiations. But with labour market tensions growing and the Sedlabanki raising... 18th March 2015 · 1 min read
Global Economics Update ECB QE should be a net positive for rest of the world Concerns about the possible negative side effects for the rest of the world from QE by the ECB look overdone. Admittedly, the appreciation of other currencies against the euro will be a headwind for... 17th March 2015 · 1 min read
Europe Commercial Property Update Dutch retail rents set to turn a corner in 2015 A gradual recovery in Dutch house prices will support retail sales growth in the Netherlands. This will drive a rise in prime retail rents in 2015 in both Amsterdam and Rotterdam. However, the slow... 17th March 2015 · 1 min read
Europe Data Response German ZEW (Mar.) & Euro-zone Employment (Q4) March’s modest rise in the ZEW investor sentiment index suggests that hopes for the German economy have been tempered by worries over the effects of the Greek crisis. 17th March 2015 · 1 min read
Global Economics Update Is growth in the euro-zone about to outpace that in the US? Some indicators suggest that the euro-zone economy may grow faster than the US in Q1. But this is largely because unusually severe weather has hit US activity. While the euro-zone economy has gained... 16th March 2015 · 1 min read
Europe Economics Update France will struggle to meet its new fiscal targets, again While France has been given an extra two years to meet its new budget targets set by Brussels, we think that it will still struggle to achieve the necessary fiscal consolidation given France’s... 16th March 2015 · 1 min read
Europe Economics Weekly Now is the euro low enough? The drop in the euro to a 12-year low against the US dollar should clearly provide some support to both activity and inflation in the euro-zone. But it would be wrong to think that its effects are... 13th March 2015 · 1 min read
Europe Commercial Property Update Nordic retail set for solid growth, but Finland will disappoint Low inflation and historically low interest rates in the Nordic region will support real wage growth and rising house prices in every market bar Finland. With consumer spending growth set to benefit... 13th March 2015 · 1 min read
Europe Data Response Ireland GDP (Q4) Q4’s modest rise in Irish GDP appeared to confirm that growth is slowing from the very rapid rates experienced earlier this year, perhaps as statistical distortions have faded. Nonetheless, business... 12th March 2015 · 1 min read
Europe Economics Focus Will Greece & deflation re-ignite the euro-zone crisis? The combination of Greece’s renewed problems and the onset of deflation is a very toxic one for the euro-zone. At best, it is likely to keep economic growth in the region fairly subdued. At worst, it... 12th March 2015 · 1 min read
Europe Data Response Euro-zone Industrial Production (Jan.) January’s euro-zone industrial production data suggested that industry had a poor start to 2015, with little evidence of a boost from the weaker euro or lower oil prices. 12th March 2015 · 1 min read
Europe Commercial Property Update Madrid all-property yields set to stay below those in Milan Historically, all-property yields in Madrid have tended to be higher than those in Milan. Yet over the past year, that spread has reversed. Given Spain’s stronger economic prospects and the outlook... 11th March 2015 · 1 min read
Europe Economics Update How low will the euro go? Rising expectations for US interest rates and an escalation of the Greek crisis could push the euro down to parity against the US dollar and beyond. But we expect it to stage a partial recovery in... 11th March 2015 · 1 min read
Europe Economics Update Is German wage growth finally taking off? The latest data on German wage growth suggest that pay is finally beginning to respond to the long labour market recovery. With deflation offering a further boost to real wage growth, we expect the... 11th March 2015 · 1 min read
