Egyptians collect 9 medals at Sahl Hasheesh Triathlon    Sisi visits Wahat Al Karama Memorial, Zayed Grand Mosque    Dar Al-Ifta warns against possible prosecution against Sunnis in Iraq    Mohamed Aly elected member of World Karate Federation    Crown prince Vajiralongkorn proclaimed king of Thailand    Could president Trump actually fulfill his anti-immigration promises?    Meet American & European tourists travelling to Sharm El Sheikh    USA returns ancient artifacts to Egypt    Egypt qualifies to 2016 Women's World Team Squash Championship semifinals    Egypt ranks 116th globally, 11th in MENA in Global Enabling Trade Report 2016    Nubians to suspend protest for 1 month, giving state chance to respond to demands    Industry Minister inaugurates 3 factories worth EGP 362m in Kafr El-Dawar    13 defendants referred to criminal court in Ismailia prison break case    Finance Ministry approves state guarantee for Toyota alliance's Suez wind farm    EU delivers over €221 MM in support to Egypt & others    Egypt denies any reconciliation with Muslim Brotherhood    Cairo hosts Fulbright regional conference on natural resources    US & Egypt stress on protecting human antiquities against 'treachery'    Parliament's Foreign Affairs Committee refutes British MP's statements concerning Brotherhood    Parliament's first drafted legislation on NGOs heavily criticised    Doctors Syndicate undersecretary summoned for investigations    MPs demand dismissal of Egypt's permanent representative to UN    MP Abdul Rahim Ali demands boycotting EU suspicious meeting    Kremlin asks Erdogan to explain his remark about toppling Assad    Sky enters UK mobile phone market with flexible data plans    U.S., Egypt to sign cultural property protection agreement today    Water cuts and rising food prices leave Mosul facing crisis    Sisi meets Eritrean counterpart to discuss means of developing bilateral ties    Iran, Iraq at loggerheads with Saudis ahead of OPEC meeting    Arabsat launches Egyptian TV bouquet at Cairo ICT 2016    Egypt to offer prime land for project development    Assad, allies aim to capture all Aleppo before Trump takes power    Kerry signs cultural agreement with Egypt    8 ISIS members sentenced to life over joining terrorist group    13 years in jail for Greeks who tortured Egyptian worker    Egypt parliament committee rejects lifting immunity from MP Mortada Mansour    Brazil football team Chapecoense in Colombia plane crash    HRW: Sisi must refuse to sign Egypt's civil society draft bill    From poor organisation to award-winning films: round-up of 38th Cairo International Film Festival    Aziz Maraka concert a big hit in Cairo    MPs reject government-drafted amendments to Egypt's NGOs law    Court rejects appeal to release novelist Ahmed Nagy for 3rd time    Archeologists unearth ancient city in Egypt's Abydos    Chinese director delights to win Cairo film award    Coming to the region    Classic squash    Introducing the Cleopatras    Egypt organises American football league, first time in the Middle East    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.





ECB hints at new bond-buying scheme
Published in Daily News Egypt on 04 - 09 - 2012

Details of a new bond buying plan by the European Central Bank (ECB) fueled a surge in some Spanish and Italian debts and increased mediated talks between European leaders.
German Chancellor Angela Merkel met with the President of the European Union (EU) Herman van Rompuy in Berlin on Tuesday, while French President François Hollande travelled to Rome for a meeting with Italian Prime Minister Mario Monti. The meetings came after President of the ECB Mario Draghi said he would be comfortable buying three year government bonds to aid European nations struggling for funding.
Merkel has indicated that Germany would support a more proactive role at the ECB to combat the economic crisis.
“I think there is broad agreement among these people," said Luca Jellinek, head of European interest-rate strategy at Credit Agricole Corporate & Investment Bank in London. “Many people are realising that monetary policy is broken in Europe, badly broken."
The Euro fell 0.2 percent against the dollar yesterday, sitting at $1.2574 by 3.15pm Berlin time after trading on a near two month high, while Italian two year yields suffered the largest drop in a month and falling to the lowest level since March; 25 basis points to 2.38 percent. Spain's two year yield fell 36 basis points to 3.25 percent. Spain and Italy's two year yields were at an all-time on-record low relative to ten year bonds, while Germany's ten year bond yields rose by three basis points, to 1.4 percent. Germany and Italy disagreed last week in Berlin over the details of a broad collective action. Merkel insisted on focusing efforts on budget rigour, while Monti advocated for flexibility on market intervention.
“We have to press for reforms in other countries even if they sometimes say we're hard-line," Merkel said, addressing a crowd in Abensberg, northeast of Munich. “It's not enough just to keep muddling through. But I also say that in such a difficult phase these countries deserve our solidarity and that we root for them to overcome their difficulties."
It is expected that Draghi may provide additional details on the ECB's bond-buying plans on 6 September, when he holds his first press conference after the summer break. Greece will be one of the points discussed by ECB as policy makers anticipate a bailout progress report, due next month, from the principal creditors of the nations; the European Commission, the ECB and the International Monetary Fund.


Clic here to read the story from its source.