Here's my summary of the key news overnight in 90 seconds at 9 am, including news the ECB has cut its official rates to record low levels.
Refinancing and marginal lending rates were cut by 25bps and 50bps, respectively and the benchmark lending rate is now 0.5%. This was what markets expected. Denmark made a similar cut. The decisions weren't unanimous however with the German delegate unhappy with the decision.
A whole host of poor PMI data released today supported the ECB's efforts to reinvigorate the contracting European economy. The announcement at last brings European rates in line with those of other major developed economies.
Even though Europe's final manufacturing PMIs were a touch better than expected, readings remain well below 50, the level that indicates contraction.
In a bit of a surprise, Mario Draghi said they may also consider negative rates if more easing is needed - where they charge banks to hold their reserves.
The news was much better in the US where consumer sentiment climbed last week to the highest level in more than five years and claims for jobless benefits unexpectedly dropped, indicating the American economic expansion is making progress.
We get important unemployment (NPF) data tonight.
The Chinese currency continued its impressive climb against the US dollar when trading resumed after their holiday, a move that signals Beijing is preparing purposefully for a more open, free floating future for its currency.
The Dow, gold and oil have made back nearly all the declines they posted yesterday, although metals like copper and aluminium continued their slide in mid-day trade.
US Treasury yields continued their fall.
The Kiwi dollar starts today unchanged from this time yesterday at 85.0 USc, 82.9 AUc, we are up against the euro of course and our TWI now stands at 78.4.
No chart with that title exists.
7 Comments
LMAO. Yes a place I try to avoid and actually spend considerable time working out how to bypass, which can be done sometimes. My lot were a bit sharper than that generally and that even applied to Tubes, who aquired that name after being sent to the medical department for a set of fallopian tubes.
Himmel who gave VonDago zee cannon
Nobody did - it had already been passed on to the Rumeration Authority.
Taxpayers across the country are about to pump an extra $3.1 million into the pay packets of their local politicians.
The Remuneration Authority, which sets the pay for city, district and regional councils, has increased the national pay pool by 8.9 per cent, meaning some councillors will pocket rises of up to $16,000 after this year's elections.
By comparison, average workers' pay packets are creeping up about 1.8 per cent a year. Read article
I was of course refering to Drahgi,.... in a rhetorically German sense Stephen H.
But yes it's gauling....as always, the colour of the pigs at the trough bears little relationship to the colour of the trough they sup from.... and a finer group of tough wallowing individuals they are I'm sure....
In addittion , extensions to the powers of office are under revision to include.....
Being an offence punishable by termination of employment ......at the discretion of the Office of the Prime Minister.
(A)Failure to recognize a person of official office regardless of the demeanor or level of comprehensible sobriety.
( B) failure to respond to, or fullfill the requests of said official, irrespective of any inconvenience, embarrassment, or repecussions to the officials well being.
(C)failure to behave in a reverent manner when being addressed by an official, or to exibit any contrary behavior to any, or all communication by the official.
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