Arab Today, arab today eurozone states get moving after ecb fed moves
Last Updated : GMT 02:17:10
Arab Today, arab today
Arab Today, arab today

Eurozone states get moving after ECB, Fed moves

Arab Today, arab today

Arab Today, arab today Eurozone states get moving after ECB, Fed moves

Frankfurt - AFP

Urgent action on the eurozone debt crisis picked up Wednesday with emergency budget talks in Rome and Paris after the ECB laid down terms for shoring up Europe\'s single currency.A new round of stock market free-falls underscored fragile sentiment despite a US Federal Reserve statement that forecast low US credit rates for the next two years. Central banks have a central role in dealing with the trans-Atlantic debt crises, and it was only after the European Central Bank resumed buying public debt, including Italian and Spanish bonds, that pressure eased on Rome and Madrid. The relief could be short lived however, since markets erupted again after Greece\'s finance minister some of the bonds included in its debt swap might stretch further than initially thought, and rumours swirled about a French credit ratings downgrade. The ECB has tried to calm markets verbally but only intervened in the one for public debt after it was clear Italian Prime Minister Silvio Berlusconi had heard ECB president Jean-Claude Trichet\'s oft-repeated call for a \"quantum leap\" in the tightening up of public finances. The eurozone debt crisis, which threatens the entire bloc barring clear progress towards a new framework, is part of a wider, deeper drama based on massive US debt and fears of a new recession.The ECB \"actively\" resumed purchases of bonds issued by distressed countries now including Italy, the third-biggest eurozone economy, and Spain, which is number four. France, the second-biggest and an \"AAA\" credit rated country, has seen its borrowing rate drift away from benchmark 10-year German bunds meanwhile, and was hit by rumours it would be the next major economy to suffer a downgrade.France swiftly denied the speculation and the ratings agency Fitch promptly confirmed Paris\' top rating. President Nicolas Sarkozy also promised new measures by August 24 to slash France\'s public deficit in a bid to reassure markets.Sarkozy had broken off a holiday on the Riviera to fly back to Paris for an urgent cabinet meeting on the crisis.France currently chairs the Group of Seven industrialised nations, and Finance Minister Francois Baroin said the new measures would take account of \"global uncertainty\" and a historic cut of the US rating by Standard & Poor\'s.In Italy, Berlusconi has called parliament back early from summer holidays to vote Thursday on a constitutional amendment that would require a balanced budget. He also met trade unions and business leaders Wednesday to nail down reforms they shunned just a month earlier, and press reports said measures should be adopted at an emergency cabinet meeting that might take place next week. Italy welcomed a sharply lower rate of 2.959 percent when it tendered 6.5 billion euros ($9.3 billion) in 12-month bonds on Wednesday, down from the 3.67 percent it had to pay in a similar operation last month.Italian borrowing rates had leapt on concern that Rome could be forced into seeking a bailout like those granted to Greece, Ireland and Portugal. The burst of eurozone activity came a day after Trichet warned in a radio interview that Europe was facing \"the worst crisis since the Second World War.\" In this context, \"we expect governments to do what we consider to be their work, their duty,\" he declared. \"We have been extremely clear with the Italian government over recent days in asking for a number of decisions to be taken,\" Trichet said. Economists felt the ECB was now dictating terms to eurozone governments in exchange for controversial aid that only it can provide at short notice. \"The ECB is now accelerating the process of conforming to the standards it requires by really dictating here the changes it requires to provide support,\" Barclays Capital managing director Julian Callow told AFP. Berenberg Bank senior economist Christian Schulz added that the ECB was \"the only one that can impose conditions on Italy.\" But Moneycorp analysts wrote that Trichet was also trying to make it clear the central bank needed help as well. \"His unspoken message was that, with reserves of around 500 billion euros, the ECB does not have the resources to soak up 1.5 trillion euros of Italian government bonds,\" they said.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today eurozone states get moving after ecb fed moves Arab Today, arab today eurozone states get moving after ecb fed moves

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today eurozone states get moving after ecb fed moves Arab Today, arab today eurozone states get moving after ecb fed moves

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today O'Leary: Could ground more planes

GMT 06:49 2017 Friday ,22 September

O'Leary: Could ground more planes
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Huthis stage defiant rally 3 years

GMT 05:29 2017 Friday ,22 September

Huthis stage defiant rally 3 years
Arab Today, arab today Saudi Arabia to unblock internet calling apps

GMT 11:31 2017 Wednesday ,20 September

Saudi Arabia to unblock internet calling apps
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today All eyes on May as she prepares

GMT 10:16 2017 Friday ,22 September

All eyes on May as she prepares
Arab Today, arab today Puerto Rico, Virgin Islands brace

GMT 12:01 2017 Wednesday ,20 September

Puerto Rico, Virgin Islands brace
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes pumps 1 bln euros    

GMT 06:04 2017 Friday ,22 September

Mercedes pumps 1 bln euros    
Arab Today, arab today Intel chips loaded in Waymo

GMT 14:43 2017 Wednesday ,20 September

Intel chips loaded in Waymo
Arab Today, arab today Youssra prepares for launching her  program

GMT 08:59 2017 Wednesday ,20 September

Youssra prepares for launching her program
Arab Today, arab today France hopeful of persuading Trump

GMT 06:21 2017 Wednesday ,20 September

France hopeful of persuading Trump

GMT 09:40 2017 Tuesday ,19 September

Actress Ream Hhagag prepares for a new film

GMT 18:09 2017 Thursday ,21 September

China lifts 10-year travel ban

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 18:03 2017 Thursday ,21 September

Alarm over flesh-eating ulcer cases

GMT 07:00 2017 Wednesday ,20 September

A no-frills business success

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:46 2017 Thursday ,21 September

Google likely to buy stake in Taiwan smartphone maker HTC

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday