Europe Economics Update What will happen after next year's bank stress tests? Euro-zone Finance Ministers made little progress on Banking Union at their summit this week. If next year’s stress tests find large holes in bank balance sheets, there is still no clear mechanism to... 17th October 2013 · 1 min read
Europe Economics Focus Does Europe still face default? Despite the euro-zone economy’s recent recovery, likely constraints on future rates of economic growth and limits to further austerity mean that more of the region’s economies could yet choose, or be... 15th October 2013 · 1 min read
Europe Data Response Euro-zone Industrial Production (Aug 13.) Despite a rise in production in August, the euro-zone industrial sector is unlikely to have provided much of a boost to the wider economy in Q3. 14th October 2013 · 1 min read
Europe Economics Weekly US shutdown underlines uncertain global backdrop The US federal government shutdown is unlikely to have major direct effects on the European economy and financial markets provided that it is resolved fairly quickly. Nonetheless, the episode has... 14th October 2013 · 1 min read
Europe Economic Outlook Growth prospects improve, but crisis unresolved The European economy has shown further signs of recovery, with the euro-zone finally emerging from recession in the second quarter and other parts of the continent also faring better. But growth in... 8th October 2013 · 1 min read
Europe Economics Weekly Peripheral labour markets are healing, but very slowly Evidence mounted last week that euro-zone unemployment has peaked. Particularly encouragingly, many of the peripheral economies have now enjoyed several months of falling unemployment. What’s more... 7th October 2013 · 1 min read
Europe Economics Update ECB in no hurry to provide further support President Draghi struck a cautiously optimistic tone about the euro-zone’s nascent recovery. But while he made it clear that the ECB stands ready to prevent excessive rises in market interest rates... 2nd October 2013 · 1 min read
Europe Chart Pack Falling inflation increases scope for monetary easing The fall in euro-zone CPI inflation to 1.1% in September – its lowest rate since February 2010 – leaves it well below the ECB’s target of “below, but close to, 2%”. While falling energy inflation has... 2nd October 2013 · 1 min read
Europe Data Response Euro-zone Unemployment (Aug. 13) & Final Manu. PMI (Sep.13) August’s euro-zone unemployment figures provided further tentative signs that labour market conditions are improving. 1st October 2013 · 1 min read
Europe Data Response Euro-zone Flash CPI (Sep.) September’s euro-zone flash CPI figures confirmed that the ECB enjoys plenty of room to loosen monetary policy further. 30th September 2013 · 1 min read
Europe Data Response Euro-zone EC Survey (Sep.) September’s European Commission business and consumer survey echoed the message from other recent indicators that the euro-zone economy probably expanded again in Q3. But growth is too slow to resolve... 27th September 2013 · 1 min read
Global Markets Update Narrowing in euro-zone bond spreads may have run its course With Germany unlikely to alter its hardline approach towards the euro-zone’s more troubled governments following last weekend’s federal election, we doubt that the credit spreads of peripheral euro... 26th September 2013 · 1 min read
Europe Economics Update Euro-zone Monetary Indicators Monitor (Aug.) The continued weakness of the euro-zone monetary data in August suggests that the pick-up in the real economy rests on fragile foundations. 26th September 2013 · 1 min read
ECB Watch More LTROs in the pipeline? The firmer tone of the economic data has ruled out any change in interest rates at the ECB Governing Council meeting on 2nd October, while the US Federal Reserve’s recent communication problems will... 25th September 2013 · 1 min read
Europe Economics Update Euro-zone Fiscal Monitor (Sep.) Greece and Ireland have continued to cut their budget deficits. But the fragile political situation in Italy has contributed to some budget slippage there. 25th September 2013 · 1 min read
Europe Economics Update More LTROs could have a downside The execution of more long-term refinancing operations (LTROs) by the ECB could ease concerns over a potential liquidity crisis in the banking sector. But it could also further strengthen the... 24th September 2013 · 1 min read
