Last quote by Howard Archer
Howard Archer quotes
Draghi indicated that countries with fiscal space should use it - and notably, observed that Germany has fiscal space. Given that a number of German politicians have criticized the ECB's monetary policy, that seems a fair riposte.
With the U.K. economic outlook weakened by the Brexit vote, there can be very little doubt – if any – that the Bank of England will enact some stimulus on Thursday. The only question really seems to be exactly what action will the (monetary policy committee) take?
It was always going to be ever more difficult for car sales to achieve year-on-year gains. However, it is very possible that there was some dampening effect on private and business car sales by heightened uncertainty in the run-up to the referendum.
Of course, it remains to be seen if the May-April improvements in eurozone consumer and business confidence can be sustained or whether renewed falls occur.
Current increased domestic economic and political uncertainties could also be reining in housing market activity, especially in the run-up to June's EU referendum.
Consumers perhaps offer the euro zone the best hope for growth at the moment – the fundamentals still look reasonable for consumer spending in the euro zone with deflation/negligible inflation boosting purchasing power and labour markets generally improved.
At the very least, the weakness in oil prices has increased the likelihood that euro zone consumer price inflation will remain extremely low for longer.
As horrific as these events are – and this is truly awful – economic activity does tend to be pretty resilient.
Consumers are still doing little to help the eurozone return to growth, which is little surprise given the pressure they are under in a number of countries from high and rising unemployment and limited purchasing power.
Germany is the best market to see future upticks because the fundamentals for consumers there, such as high employment and wage growth, are better than elsewhere.
While the ECB could act as soon as its October meeting next Thursday, we lean towards the view that they will probably hold off to November.
The downward revision is due to a marked drop in Italian inflation due to a change in its methodology.
The fact remains that euro zone consumer price inflation is still at a 27-month high and set to rise further in the near term due to the spike in oil prices as well as elevated commodity and food prices.
Nevertheless, the overall growth rate in euro zone exports has clearly moderated in recent months. Meanwhile, euro zone imports fell…in September, thereby hinting at softening euro zone domestic demand.