Category Archives: ECB

DRAGHI SAYS ECB TECHNICALLY READY FOR NEGATIVE DEPOSIT RATES

If anyone can get a message to him, please tell him that, functionally, negative rates are just a tax on deposits that ultimately reduces spending/output/employment, much like the PSI did in Greece and whatever you want to call the ‘deposit … Continue reading

Posted in CBs, ECB, EU |

Germany’s Ifo Drops in April, Raising Odds of ECB Cut

And a rate cut only makes it worse, as per the interest income channels: Germany’s Ifo Drops in April, Raising Odds of ECB Cut April 24 (Bloomberg) — Germany’s Ifo index dropped in April, in a further sign that Europe’s … Continue reading

Posted in ECB, Germany |

Thaler’s Corner 04-22-2013 2013: And now?

Again, very well stated! Thaler’s Corner I must admit that I am at a loss for words these days. The analytical items at our disposal describe a situation so complex, given a myriad of contradictory influences, that I find it … Continue reading

Posted in ECB, EU, Housing, Interest Rates, USA |

Draghi Considers Plan B

Yet more proposals that won’t work. The problem remains: Deficits are too small while they all think they are too large. Draghi Considers Plan B as Sentiment Dims After Cyprus Fumble By Jeff Black and Jana Randow and Stefan Riecher … Continue reading

Posted in ECB |

Cyprus proposal detail

Proposals from earlier today: ECB guarantees deposits for .25% annual fee ECB takes over regulation, supervision, enforcement of banking regs etc. This becomes the model for regulating all EU banks I finally got a quick minute to add some color … Continue reading

Posted in ECB, EU | Tagged , |

Cyprus proposal Inbox

ECB guarantees deposits for .25% annual fee ECB takes over regulation, supervision, enforcement of banking regs etc. This becomes the model for regulating all EU banks Of course I have no say ;)

Posted in ECB |

Cyprus Funding Need and Sources

In line with prior info. Also, Europe is entirely dependent on Russia for a large chunk of its gas and some oil as well. They made Russia promise and cross their hearts never to cut it off, but they could … Continue reading

Posted in ECB |

French and Italian debt chiefs warn on EU Tobin Tax

So how about just letting the ECB fund them all at 0%??? Transactions taxes reduce transactions by making them costly, which is exactly what this one will do. So if that’s the outcome they want they should go ahead and … Continue reading

Posted in ECB, EU |

Comments on the Italian election results

With austerity now well understood to increase deficits, only PSI remains to decrease deficits. With strong political support surfacing, as per Grillo’s positions on repudiating debt. So there is the deflationary impact of PSI. The flight to maybe actual cash … Continue reading

Posted in ECB | Tagged , |

ECB earns €555m on Greek bond holdings FT.com

ECB earns €555m on Greek bond holdings By Michael Steen in Frankfurt (FT) —The European Central Bank said it earned €555m last year on its holdings of Greek sovereign bonds that were bought during the crisis in an attempt to … Continue reading

Posted in ECB |