tdaly
January 14, 2010, 11:21am
#2
fxcentre.com/news.asp?2538310
German inflation drops to 10 year low
German inflation averaged 0.4 percent in 2009, its lowest level since the country was reunified in 1990, final figures released this morning by the national statistics office show.
fable
January 14, 2010, 12:02pm
#3
irishtimes.com/newspaper/breaking/2010/0114/breaking19.htm
ECB set to keep rates at 1%
The ECB’s 22 Governing Council members began their first meeting of the year at 8am.
All 80 economists in a recent Reuters poll expected rates to remain on hold when the decision is announced at 12.45pm, and all but a handful seeing the central bank keeping them there well into the second half of the year as it waits for the economy’s recovery to firm up.
“The Governing Council should continue to signal that policy will remain accommodative for a considerable period,” said Fortis Bank economist Nick Kounis. “We think it will take some time before it begins to tighten policy.”
more…
bob3367
January 14, 2010, 3:22pm
#4
Trichet used the word “appropriate level” when commenting on the rate of 1%, which according to those in the know, means that nothing will change for a while yet, which goes against our own ESRI, who forecast 75bps increase in 2010.
From what I could make out everything will depend on GDP for Europe as a whole in the first 2 qtrs… so the waiting goes on.
What use are 1% rates when banks are charging customers 11-12% rates for a modest car loan.
*Europe as a whole *or do you mean Germany and France, with a little bit of Italy thrown in ?
bob3367
January 14, 2010, 6:36pm
#7
mr_anderson:
… so the waiting goes on.
*Europe as a whole *or do you mean Germany and France, with a little bit of Italy thrown in ?
Fair point, I think the Greek situation might play a part in all this yet.
