Germany sold 4.1 billion euros ($5.3 billion) of bonds today, kicking off a competition for finance that may determine whether euro-area leaders can preserve the 13-year-old single currency.
European economic growth slowed more than economists forecast in the second quarter as Germany’s recovery almost ground to a halt amid the worsening sovereign- debt crisis.
Euro-area services growth accelerated more than forecast in February, underlining a strengthening recovery that takes pressure off the European Central Bank to add stimulus when policy makers meet tomorrow.
The European Central Bank took a record amount of overnight deposits yesterday as the region’s financial institutions entrusted funds amassed from emergency lending operations.
Mario Draghi’s habit of springing surprises means that few can say what he’ll do when European Central Bank officials decide on monetary policy today.
"The prospect of negative euro-area inflation in December and the months ahead reinforces the probability of sovereign quantitative easing to fight the risks of a de-anchoring of inflation."
- Nick Matthews on Dec 30, 2014