Yellen hints at fed rate hike in March
The Dollar Business Bureau Keeping in view the US’ recovering economy and the investors’ positive sentiments around it, the US Federal Reserve Chair Janet Yellen on Friday said the fed will adopt a more aggressive rate path ahead, first by raising interest rates at its next meeting on March 14-15, and possibly make further adjustments after the meeting. "At our meeting later this month, the committee will evaluate whether employment and inflation are continuing to evolve in line with our expectations, in which case a further adjustment of the federal fund rates would likely be appropriate," Yellen said. “We realise that waiting too long to scale back some of our support could potentially require us to raise rates rapidly sometime down the road, ...
Eurozone economy indicators largely positive in 2017
The Dollar Business Bureau After a satisfactory year for the euro zone economy in 2016, the new year has also kicked off on a positive note, with evidence from the European Central Bank’s massive cash stimulus seeming to open up more economic growth probabilities for the region. However, the year 2017 is slated to bring its share of challenges, both economic and political; but overall the euro zone economy is doing better than what many expected. German inflation stood at 1.9% in 2016, highest since July 2013 and spot on the ECB's under 2% target for the euro zone. Spain showed a remarkable recovery once again after the 2008 euro crisis, growing at 3.2% and another 3.2% and 1.4% in the previous two years. Netherlands’s manufacturing hit the highest since 2008, ...
ECB goes for new stimulus push to meet inflation goal
The Dollar Business Bureau European Central Bank’s (ECB) President Mario Draghi warned that the fresh stimulus push by the Bank might not be the final one as it strives to meet its inflation goal. “The monetary-policy decisions’ intention is to retain the high degree of accommodation in place,” Draghi told reporters in Frankfurt after the meeting of Governing Council, which agreed to add $576 billion (540 billion euros) to its programme of bond-buying and extend this until the next year-end. If “the outlook becomes less favourable or financial conditions become inconsistent with further inflation progress, the governing council intends to increase the programme in size or duration,” he added. The newest action of ECB comes amidst concerns that the gradual economic recovery risks in ...
ECB cuts down interest rate to zero across euro area
The ECB expanded the monthly purchases bond under the asset purchase programme to 80 billion a month from its earlier 60 billion a month starting in April and intended to run until March 2017. The Dollar Business Bureau The European Central Bank (ECB) reduced its marginal lending facility rates and its deposit facility rates. Concerned over fresh fears of aneconomic meltdown in Europe, the European Central Bank (ECB) on Thursday cut interest rates to an all-time low to zero across the euro zone and decreased two other interest rates. On Thursday, a 25-member Governing Council held a meeting in Frankfurt, Germany and announced a slew of unprecedented initiatives to revive its stalled economy. The interest rate on the main refinancing operations of the ...
