European stocks climbed the most in two months after a gauge of manufacturing in the euro area rose more than forecast and as investors awaited a Federal Reserve meeting starting tomorrow to gauge the timing of stimulus cuts.
Central banks are finding it’s easier to push up stock and home prices than it is to prevent inflation from falling short of their targets.
Fidelity International’s Trevor Greetham said he’s been selling stocks over the past six months in anticipation of economic “difficulties” later this year.
The European Central Bank unexpectedly cut its benchmark interest rate to a record low in a bid to prevent slowing inflation from taking hold in a still- fragile euro-area economy.
The world economy is sliding into a “twilight zone,” trapped between outright expansion and renewed recession.
Central bankers are taking a break rather than hitting the brake.
Euro-region stocks are missing this year’s global rally as four years of lockstep moves in markets break down amid diverging outlooks for economic growth.
European Central Bank President Mario Draghi signaled he’d rather use interest rates than the printing press to bolster growth as the debt crisis drags the euro-area economy toward recession.
European central bankers broke new ground to protect their economies from a U.S.-led surge in bond yields, indicating they will keep benchmark interest rates low for longer than investors bet.
U.K. stocks closed little changed after Chancellor of the Exchequer George Osborne presented his annual budget to Parliament.
"A sharp rise in inflation would change things, but there's not sign of it."
- Trevor Greetham on Nov 12, 2013