Egypt stocks hit record highs in 2025 as reforms fuel rally: Cabinet    Egypt condemns Israeli strikes on Lebanon, Syria    Egypt signs strategic agreements to attract global investment in gold, mineral exploration    Egypt launches first national workshop on food systems, climate action with UN, global partners    Al-Sisi reviews Egypt's food security, strategic commodity reserves    Syria says it will defend its territory after Israeli strikes in Suwayda    Egypt urges EU support for Gaza ceasefire, reconstruction at Brussels talks    Pakistan names Qatari royal as brand ambassador after 'Killer Mountain' climb    Health Ministry denies claims of meningitis-related deaths among siblings    Egypt's gold prices grow on July 13th    CBE's Abdalla attends Arab central bank governors' meeting ahead of Sept summit    Egypt's Health Min. discusses drug localisation with Sandoz    Egypt, Mexico explore joint action on environment, sustainability    Egypt, Mexico discuss environmental cooperation, combating desertification    Needle-spiking attacks in France prompt government warning, public fear    Foreign, housing ministers discuss Egypt's role in African development push    Korea Culture Week in Egypt to blend K-Pop with traditional arts    Egypt, France FMs review Gaza ceasefire efforts, reconstruction    CIB finances Giza Pyramids Sound and Light Show redevelopment with EGP 963m loan    Egypt's PM urges BRICS to prioritise peace    Greco-Roman tombs with hieroglyphic inscriptions discovered in Aswan    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt's GAH, Spain's Konecta discuss digital health partnership    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    Egypt's Democratic Generation Party Evaluates 84 Candidates Ahead of Parliamentary Vote    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Cabinet approves establishment of national medical tourism council to boost healthcare sector    Egypt's PM follows up on Julius Nyerere dam project in Tanzania    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







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.