TAG | Euro
22
Euro Passes Stress Test as Debt Panic Ebbs, Bank Exams Loom
0 Comments | Posted by elgintan in Banking Industry, FX
Europe may already have passed its biggest stress test. The euro has rallied 8 percent from a four-year low last month. Greece, Spain and Portugal have managed to sell 50 billion euros ($64 billion) of debt since May 10 when the need to save the single currency forced finance ministers to create a nearly $1 [...]
8
Investors Pick U.S. Over BRICs in Bloomberg User Poll
0 Comments | Posted by elgintan in Economics
The U.S. has supplanted China and Brazil as the most attractive market for investors as confidence in the global economic recovery wanes in the wake of the Greek debt crisis. Investors are putting their money on President Barack Obama’s stewardship of the U.S. economy even as his job-approval rating has declined, according to a global quarterly [...]
7
ECB Advocates Tightening as U.S. Urges Domestic Demand Growth
0 Comments | Posted by elgintan in Economics
European Central Bank President Jean- Claude Trichet and Treasury Secretary Timothy F. Geithnerdiverged on prescriptions to sustain growth, with Europe set to tighten budgets and the U.S. seeking stronger domestic demand. The impact of narrower budget gaps “on growth could not be considered negative because it would improve confidence,” Trichet told reporters yesterday after meeting with Group [...]
13
Bailout Is ‘Nail in the Coffin’ for Euro, Rogers Says
0 Comments | Posted by elgintan in Economics, FX
Investor Jim Rogers said Europe’s bailout of indebted nations to overcome the sovereign-debt crisis is just “another nail in the coffin” for the euro as higher spending increases the region’s debt. The 16-nation currency weakened for a second day against the dollar after rallying as much as 2.7 percent on May 10, when the governments of [...]
11
Bank Swaps, Libor Show Doubts on Europe Bailout: Credit Markets
0 Comments | Posted by elgintan in Banking Industry, Economics
Money markets and the cost of protecting bank bonds from losses show investors are concerned the almost $1 trillion rescue plan announced by European leaders may not be enough to contain the region’s sovereign debt crisis. The Markit iTraxx Financial Index of credit-default swaps on 20 European banks was last at 130.5 basis points compared [...]
10
EU Crafts $962 Billion Show of Force to Halt Euro Crisis
0 Comments | Posted by elgintan in Uncategorized
European policy makers unveiled an unprecedented loan package worth almost $1 trillion and a program of bond purchases as they spearheaded a global drive to stop a sovereign-debt crisis that threatened to shatter confidence in the euro. Jolted into action by last week’s slide in the currency and soaring bond yields in Portugal and Spain, [...]
Greek demonstrations against government austerity measures turned deadly when three people were killed after protesters set fire to a bank in central Athens. Fire officials at the scene said they discovered three bodies in the building, according to a fire-department statement sent by text message today. The building, located near the Greek parliament, housed a branch [...]
5
Soaring VIX Index May Signal More Trouble Ahead for Stocks
0 Comments | Posted by elgintan in Economics, Equities, FX, investments
Europe’s spreading debt crisis—combined with an overdue stock pullback and the prospect of the Federal Reserve withdrawing its economic support—added up to one thing Tuesday: Fear. As the Dow Jones industrial average tumbled more than 200 points and safe-haven moves for US Treasurys escalated, investors sought protection with the Chicago Board Options Exchange’s Volatility Index[VIX 23.84 3.65 (+18.08%) ], which [...]
3
Greece Gets $146 Billion Rescue on EU, IMF Austerity Package
0 Comments | Posted by elgintan in Economics, FX
Euro-region ministers agreed to a 110 billion-euro ($146 billion) rescue package for Greeceto prevent a default and stop the worst crisis in the currency’s 11-year history from spreading through the rest of the bloc. The first payment will be made before Greece’s next bond redemption on May 19, said Jean-Claude Juncker after chairing a meeting of euro-region [...]
31
Greek Seven-Year Notes Drop; Demand Wanes at ‘Surprise’ Auction
0 Comments | Posted by elgintan in Banking Industry, Fixed Income
March 30 (Bloomberg) — Greek seven-year notes fell in the first day of trading and an auction of 12-year bonds garnered demand for less than half the debt offered on concern Europe’s most indebted nation will keep struggling to fund itself. The drop drove yields on the 5 billion euros ($6.7 billion) of seven-year notes [...]

