Europe

  • 2016-07-18 04:15


    By David Robinson

    LONDON (MNI) - Bank of England Monetary Policy Committee member Martin Weale said his decision on whether to back easing at the August meeting would depend on the likely trade-off between weaker growth and higher inflation in the wake of the vote to leave the European Union.

    In a speech to the Resolution Foundation Monday, Weale said he did not yet know the likely magnitudes of the hit to growth and rise in inflation.

  • 2016-07-15 05:30


    -BOE Haldane: Decide Size, Extent Stimulus In Aug Inflation Report

    LONDON (MNI) - Bank of England Chief Economist Andrew Haldane said a stimulus package needs to be delivered promptly, with the size and extent to be decided next month as part of the August Inflation Report round.

    Haldane described the vote to leave the EU as a negative shock and said policymakers needed to do more to cushion the effects of such shocks.

  • 2016-07-15 04:30


    -UK May Construction -2.1% m/m; -1.9% y/y

    London (MNI) - The UK construction sector contracted in May, courtesy of a downturn in private housing activity, raising prospects of a decline in construction for the second consecutive quarter.

    Construction output retreated by 2.1% between April and May, worse than the MNI median forecast of a 1.3% decline, after a slight upward revision to April data.

    On an annual basis, the sector contracted by 1.9%, outperforming the MNI median forecast of a 3.3% retreat.

    Output in the month of April was revised to show a 2.8% gain and a 0.6% annual fall, stronger than the originally-reported 2.5% monthly gain and 3.7% year-on-year fall.

  • 2016-07-13 16:19


    WASHINGTON (MNI) - The following is an excerpt of Wednesday's Dallas Federal Reserve Bank publication, the "Economic Letter," authored by Mark Wynne, associate director of research for international economics and director of the Globalization and Monetary Policy Institute at the Bank:

    Just as some parts of the world seem to have reached peak population, so too have many countries or regions experienced peak worker availability. The euro area hit this peak in 1990, Japan in 1992, the U.S. in 2008 and China in 2011.

    What is striking about the global phenomenon of growing worker scarcity is just how broad based it is.

  • 2016-07-13 12:00


    By Steven Arons

    FRANKFURT (MNI) - European Central Bank Supervisory Board member Ignazio Angeloni predicted Wednesday that the uncertainty bred by the Brexit vote would not lead to liquidity constraints in the financial markets.

  • 2016-07-13 11:45


    WASHINGTON (MNI) - The following are the remarks Wednesday of U.S. Treasury Secretary Jack Lew prepared for a joint appearance with European Commission Vice President Valdis Dombrovskis in Brussels:

    Thank you Vice President Dombrovskis for hosting me in Brussels to continue our conversations on the period of change following the UK referendum.

  • 2016-07-13 11:12


    By Simon Marks

    BRUSSELS (MNI) - Elke Konig, the Chair of the Single Resolution Board, the EU's chief resolution authority, has said new EU bail-in rules provide for some leeway for states looking to recapitalize their banking sector.

    Her comments come as the Italian government has entered into talks with the European Commission about how to recapitalize its banking sector once stress test results uncovering capital shortfalls are revealed at the end of the month.

    "For me it's pretty clear that the BRRD and the SRM rules are a solid framework, which has been agreed upon internationally," Konig said referring to the Bank Recovery and Resolution Directive, the EU's law on how to resolve failing lenders, and the Single Resolution Mechanism, the EU system for resolving non-vi

  • 2016-07-13 10:30


    By Steven Arons

    FRANKFURT (MNI) - Bundesbank Executive Board member Andreas Dombret said Wednesday that he expected Britan's Brexit vote to negatively affect euro area growth though he noted that estimates of a hit of up to 0.6 percentage points in 2017 would likely prove "exaggerated".

    Speaking at a conference in Frankfurt that addressed the impact of the Brexit vote on banks, Dombret said that the European finance ministers had predicted an impact of between 0.2 and 0.5 percentage points next year for the EU as a whole though he did not explicitly say if he agreed with that assessment.

    The actual growth effect would "depend strongly" on the outcome of the exit negotiations, Dombret predicted

    Further financial turbulence in the wake of the vote was possible but a

  • 2016-07-13 10:02


    --Corrects Spelling of Desir

    PARIS (MNI) - The hiring of former European Commission President Jose Manuel Barroso by Goldman Sachs was "particularly scandalous," France's Minister for European Affairs Harlem Desir said Wednesday.

    "Morally, politically and ethically, is a mistake by Mr Barroso," Desir told lawmakers in parliament.

  • 2016-07-13 09:48


    By Jack Duffy

    PARIS (MNI) - The hiring of former European Commission President Jose Manuel Barroso by Goldman Sachs was "particularly scandalous," France's Minister for European Affairs Harlem Desire said Wednesday.

    "Morally, politically and ethically, is a mistake by Mr Barroso," Desire told lawmakers in parliament.