Search

Client support: Phone: (+357) 22314160

FX & CFD trading involves significant risk

News

Show news:
  • All news
  • Currencies
  • Stocks
  • Commodities



08.05.2014 07:47

The likelihood of the ECB further stimulus measures is low

The European Central Bank will release the interest rate decision later in the day. Analysts expect interest rates will remain at a record low level at 0.25%. The major problem of the Eurozone is the low inflation. The ECB President Mario Draghi has many times stated that the central bank will take appropriate measures to tackle low inflation. ECB’s goal is a 2% inflation.

The Organization for Economic Cooperation and Development and International Monetary Fund Managing Director Christine Lagarde put under pressure the ECB to act as soon as possible.

On the one hand, the inflation in the Eurozone in April was better than in the previous month. The harmonised consumer price index climbed 0.7% in April (March: 0.5%). Analysts expected a rise of 0.8%. It is less than half of 2% target, but the likelihood of the ECB further stimulus measures should be decreased.

On the other hand, there is the high exchange rate of euro. The strong euro affects earnings of the export companies in the Eurozone. A stronger euro makes Eurozone’s goods less competitive abroad.

French Prime Minister Manuel Valls said over weekend the euro was too strong and "more appropriate" monetary policy was needed to weaken the euro. German Chancellor Angela Merkel's spokesman Steffen Seibert answered indirectly that the level of the euro is an issue for the European Central Bank and not an issue for politicians. Different opinions complicate the decision-making.

Eurozone’s economy is improving. Purchasing managers’ indexes for Spain and Italy and euro-area retail sales data beat economists’ forecasts. Spanish 10-year debt yields decreased to a record 2.92%. Portugal announced it is ready to exit its three-year bailout programme. All this leads to increasing demand for the euro.

Market Focus

  • The Bank of Japan decided by a 7-2 majority vote to hold the interest rate at -0.10%
  • Earnings Season in U.S.: Major Reports of the Week
  • U.S. commercial crude oil inventories decreased by 4.7 million barrels from the previous week
  • Australian unemployment rate stable at 5.6% in June
July 2017
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010
  • 2009
  • 2008
  • 2007
  • 2006
  • 2005
  • 2004
  • 2003
  • 2002
Mon
Tue
Wed
Thu
Fri
Sat
Sun
1
2
24
25
26
27
28
29
30
31

Quotes

All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.

To maximize our visitors browsing experience TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies. If you disagree, you may change your browser settings at any time. Read more

  • © 2011-2017 TeleTrade-DJ International Consulting Ltd

    TeleTrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.

    The company operates in accordance with Markets in Financial Instruments Directive (MiFID).

  • The information on this website is for informational purposes only. All the services and information provided have been obtained from sources deemed to be reliable. TeleTrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.

  • TeleTrade cooperates with SafeCharge Limited, which is an electronic money institution authorized and regulated by the Central Bank of Cyprus and is a principal member of MasterCard Europe and Visa Europe. We also cooperate with Moneybookers and Neteller, which offer electronic e-wallet services authorized and regulated by the Financial Conduct Authority.

    Please read our full Terms of Use.

  • To maximize our visitors browsing experience TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies. If you disagree, you may change your browser settings at any time. Read more

    TeleTrade-DJ International Consulting Ltd currently does not provide its services to residents or nationals of the USA, and also doesn't provide retail Forex and CFD accounts to residents or nationals of Belgium.

Connect with Us
Share on
social networks
Online
consultant
Request a callback
Top Page