CBs refrained from changes

15 December, 2017

CBs refrained from changes

The European Central Bank left its interest rates unchanged, despite positive economic forecasts and the expected strong growth of the Eurozone for the period until 2020. The central bank of Europe showed caution regarding the recovery of the region's economy, signaling that the regulator is not in a hurry to follow the increase in interest rates in the Federal Reserve's wake, despite the growth of the world economy. "The incoming information shows a strong pace of economic growth and a significant improvement in the prospects for growth," said Mario Draghi, ECB president, at a press conference.

ECB economists now expect that the euro area economy will grow by 2.3% in 2018, well above the expected growth of 1.8% growth forecasted back in September.

Draghi said that interest rates "will remain at current levels for a long period of time" and confirmed the ECB's plan to continue buying government bonds and other assets until September 2018, but with a reduced monthly volume of 30 billion euros.

ECB economists also raised the inflation forecast for the next year, but it remains below the target of less than 2% in 2018 and 2019.

Like the ECB, Switzerland's central bank left its key interest rates unchanged. Since most of Switzerland's exports are intended for the euro area, the monetary policy of the Swiss regulator largely depends on what the ECB is doing. The Bank of England also left the interest rate unchanged, although the Bank policy is ahead of most European countries. British officials are concerned about the planned exit of the country from the European Union in early 2019, restraining investment and restraining the economy's ability to produce goods and services.

The Bank of England's Monetary Policy Committee said in a statement that it expects a further increase in the rate over the next three years to contain annual inflation, which in November reached 3.1%. According to statement, future price growth will be gradual and limited.

The decisions of European central banks are likely to underline the gradual divergence between the world's major central banks a decade after the global financial crisis start. While the Fed gradually increases interest rates over the past two years, the ECB is not expected to raise rates until the end of 2019.

Amid these political and fundamental news on FOREX, the European currency was trading volatile today. The main market pair Eur / Usd gained during the session to daily highs in the area of ​​Eur 1.1863, but could not hold on to the achieved levels and with the opening of the US session, the Eur / Usd pair declined to the area of ​​Eur 1.1795.


Source link  
Equity indexes in Asia rise

Asian equity indexes moved into green territory on Tuesday despite a weak lead from Wall Street on the back of higher Treasury yields and as traders await...

Trading activity is on the lowest

The light news flow and a break in US-Chinese trade rhetoric give the equity markets a positive momentum amid so far positive reporting season in the US...

Earnings in focus: a necessary revision

UK Average Earnings excluding Bonus (3Mo/Yr) (Feb) is expected to come in at 2.8% from 2.6% previously. Claimant Count Change (Mar) is expected...


Geopolitics weigh on sentiment

Markets in Asia were mixed on Monday amid rising geopolitical tensions following a western air strike over Syria and as investors await for fresh...

Geopolitics is in the markets spotlight

Well, the global markets remained under pressure on the background of geopolitical risks and the expectations of missile strikes on Syria. It is...

Asian stocks rise despite tensions

Asian equities higher on Thursday, as market participants weighed a potential increase in commercial tensions between the world's two largest...


Negative sentiment returns to markets

After strong sales on the first day of the week, on Tuesday US markets showed a positive trend on technical rebound. US indices added on average...

Large-scale decline in equity markets

Yesterday, American markets experienced a real sale-off, indices fell by almost 3 percent. Earlier in the Asian trading, Chinese Shanghai Composite lost almost 4%...

Markets in Asia turn green

Markets in Asia traded mainly higher on Thursday following a widely expected Federal Reserve interest rate hike and upgrade of the US gross domestic...


In the past 24 hours Bitcoin has gained 4.1% and reached $9245.25. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has lost -1.4531% and is now at $1.2109. Start trading and making money on Forex today.

In the past 7 days Ethereum has gained 14.12% and is now at $656.543. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets90%
2FXTMFXTM87%
3HYCMHYCM85%
4FxProFxPro84%
5FIBO GroupFIBO Group82%
6FXCMFXCM70%
7XMXM68%
8Fort Financial ServicesFort Financial Services67%
9Alfa-ForexAlfa-Forex66%
10HotForexHotForex66%
  


Share: