Economy
Economists react to ECB’s rate cuts: What’s next for monetary policy?
The ECB cut rates by 25 basis points to 3%, dropping its commitment to keep policy “sufficiently restrictive” and signalling confidence in achieving its 2% inflation target. Economists expect gradual cuts to continue, with risks from trade tensions and geopolitical uncertainties looming.
Economy
Lagarde: ECB worried on growth but confident inflation is on track
The ECB has cut rates by 0.25% to 3%, citing progress toward its 2% inflation target and warning of downside growth risks. Lagarde noted signs of slowing momentum and weak investment. A larger cut was debated, but consensus formed around 25 basis points. Policy remains data-driven.
Economy
ECB set to trim interest rates again: What's next and why it matters
The ECB is set to cut rates by 25 basis points to 3%, with further easing expected into 2025. Lower rates may provide a much-needed boost to borrowing, domestic consumption, and exports via a weaker euro, but geopolitical risks costs may limit the benefits.
Economy
ECB's Schnabel advocates gradual cuts, flags Trump's trade risks
Interest rates are nearing neutral territory, ECB's Isabel Schnabel has said, backing gradual cuts amid persistent inflation. She highlighted risks from Donald Trump’s trade policies, noting potential economic shocks for Europe as tariffs loom over export-heavy economies.
Economy
Eurozone business activity contracts: Euro tumbles to 2-year lows
Eurozone business activity fell sharply in November, with services joining manufacturing in contraction. The Composite PMI hit 48.1, signalling the steepest decline since January. The euro and bond yields weakened, while equities turned red, with banks witnessing sharp declines.
Business
BBVA-Sabadell merger: Can new commitments ease antitrust fears?
BBVA has pledged key measures, including branch retention and SME credit guarantees, to ease antitrust concerns over its merger with Sabadell. While regulators cite risks to competition and rural access, the deal could reshape Spain's banking sector if approved.
Markets
Euro tumbles to a one-year low as US releases inflation figures
The euro further declined against the US dollar following the release of US inflation data on Wednesday. Analysts expect that the euro may continue to face downward pressure against the dollar, even if enthusiasm over Trump's policies subsides.
EU Decoded
EU DECODED: Will the Digital Euro strengthen financial security?
In this episode we talk about a new payment method that is being studied by the European Central Bank: the digital euro. Do we need another alternative for online payments and could this project have negative impacts on the banking system?
Economy
Trump policies may push ECB to cut rates, Draghi urges reform efforts
Trump’s protectionist policies could push the ECB to cut rates faster than predicted, as renewed tariffs on European exports threaten growth. Draghi urges EU reforms to bridge the tech gap and calls for a united stance in trade talks with the US.
Markets
Weekly recap: Uncertainty moves markets into retreat from highs
Global markets are set to finish the week lower due to uncertainties surrounding the economic and political landscape ahead of the US presidential election and the Japanese general election. Risk-off sentiment shaped market trends as precious metal prices surged.