Europe Economics Update Italian industrial sector defying gravity Recent news from Italy suggests that the industrial recovery is going from strength to strength. Nonetheless, we doubt that this marks the start of an Italian renaissance. Indeed, there are several... 11th October 2010 · 1 min read
Europe Economics Update ECB not yet ready to increase its support The ECB maintained a fairly dovish tone today, pledging continued support for commercial banks and possibly more peripheral government bond purchases. But there was little to suggest that the Bank... 7th October 2010 · 1 min read
Europe Economics Update Risk of a Spanish double-dip continues to grow The latest composite PMI business survey figures have added to evidence that the Spanish economy may have re-entered recession. This supports our view that Spain is set for a prolonged period of... 5th October 2010 · 1 min read
Europe Economics Update Greek Budget still leaves plenty to do The fact that the Greek Government has announced that it expects to reduce its budget deficit by more than the IMF and EC have demanded in 2010 and 2011 is an indication of the great strides that it... 4th October 2010 · 1 min read
Europe Economics Update Ireland takes a small step back from the brink The Irish Government’s announcement on the costs of rescuing its banks appears to have provided the markets with some reassurance for now. But with the banking sector still fragile and the economy... 30th September 2010 · 1 min read
Europe Economics Update France and Portugal struggle to apply fiscal squeeze Recent developments in France and Portugal confirm that both are struggling to implement measures to ensure a sustained reduction in public borrowing. But market pressures will force Portugal to act... 30th September 2010 · 1 min read
Europe Economics Update Will the euro-zone be the biggest loser in a currency war? If the world is about to engage in a currency war, the euro-zone’s arsenal looks poorly stocked. 29th September 2010 · 1 min read
Europe Economics Update EC sanctions won’t cure the euro-zone’s imbalances Proposed EC sanctions for euro-zone countries with high public debt, large current account deficits or housing market bubbles are being sold as a key step towards rebalancing and hence strengthening... 28th September 2010 · 1 min read
Europe Economics Update Is Ireland on the brink? The recent run of disappointing news from Ireland means that public debt is looking increasingly likely to reach Greek proportions, suggesting that the Irish Government may eventually be left with... 28th September 2010 · 1 min read
Europe Economics Update Euro-zone Monetary Indicators Monitor (Sep.) The further rise in euro-zone annual broad money and credit growth is certainly an encouraging sign. But given the very low starting point and the fact that many peripheral banks are still struggling... 27th September 2010 · 1 min read
Europe Economics Update Spain not yet out of the woods Despite the markets growing more pessimistic about the prospects for Ireland and Portugal, bond yields in Spain have remained relatively stable, suggesting that concerns about its public finances have... 22nd September 2010 · 1 min read
Europe Economics Update Cautious SNB won't hike rates for some time yet Fears that domestic price pressures might prompt the Swiss National Bank to tighten monetary policy proved unfounded today as it left its interest rate target at 0.25%. The Bank’s tone was gloomier... 16th September 2010 · 1 min read
Europe Economics Update ECB's unconventional support is still crucial The recent pick-up in ECB bond purchases has been very small when compared to earlier acquisitions or to the size of the euro-zone economy. Meanwhile, its lending to commercial banks in the region as... 16th September 2010 · 1 min read
Europe Economics Update How reliable is the German ZEW survey? September’s slump in German ZEW investor sentiment was a worrying sign that the recovery is already faltering. Admittedly, it is a less reliable indicator of German GDP than business surveys like the... 15th September 2010 · 1 min read
Europe Economics Update Belgian political stalemate increases debt concerns Recent developments are not easing the concerns that we have previously raised over Belgium being the Greece of the North. While the Belgian economy is growing healthily, the current political crisis... 8th September 2010 · 1 min read
Europe Economics Update Greece's fiscal headwinds gather strength With Greece likely to receive its second tranche of loans from the euro-zone and IMF next week, the Government will be able to meet its financing needs for the next few months. But Q2’s dreadful GDP... 8th September 2010 · 1 min read
