November’s euro zone consumer price inflation was suddenly updated downwards on Monday, thus contributing to skepticism that the EU’s key financial institution won’t be able to move ahead with an interest rate lift next year.
As the EU’s statistics agency Eurostat told, CPI went up by 1.9% last month from the same month of 2017.
By the way, consensus had anticipated no change from the initial forecast of 2%.
Without tobacco, energy, food and alcohol prices, core inflation managed to surge by an annual rate of about 1%, intact from the preliminary forecast and also in line with estimates.
A headline inflation rated targeted by the European Central Bank is below 2%, although close to it.
At its last policy gathering earlier in December, the EU’s major bank left interest rates intact and also confirmed plans to have its huge bond buying stimulus program wound up. While no longer adding extra purchases to its €2.6 trillion four-year-long bond purchasing initiative, the monetary authority is on the verge of reinvesting principal payments from maturing securities. It’s expected to be done for an extended period of time past the day when it starts lifting the major ECB interest rates.
As ECB Governor Mario Draghi stressed, the risks to the euro area surge outlook are still balanced enough. However, he added that the balance was diving due to uncertainties as for the threat of protectionism, geopolitical factors, and also vulnerabilities in emerging markets as well as financial market volatility.
Notwithstanding the decision to stop the asset buying program, financial markets have become extremely skeptical about the EU’s key bank moving forward with a rate lift in 2019.
In general, most market participants are currently concerned about the timing of the first rate lift.
The week was overfilled with events, especially from the BRICS summit and Jackson Hole meeting. Altogether, the market gained some fantastic opportunities. Here’s what we have for today’s session:
Hello, and welcome to the daily news release! Will the downtrend in gold change this week? What about oil? How long will it skyrocket? We have a lot to share with you.
Monday is the best day to dive into the market and prepare for another performing week. Here’s what will happen in the next five days.
Inflation in Europe was released better than the forecast. The preliminary fact was published at 4.3%. What's happening in the markets?
XAUUSD fell below 1900 for the first time since March 2023. Meanwhile, the US dollar index gives a bearish signal. Read the full report to learn more!
Oil prices are rising while the US government is on the verge of shutting down. How will it affect the market?
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!
|
