||Last Updated: Oct 9, 2015 - 12:32 AM
May 4, 2015 - 11:11 AM
Growth of the Eurozone manufacturing sector was maintained in April, with the rate of expansion easing only slightly from March’s ten-month high. Although domestic market conditions remained subdued in a number of nations, most benefitted from increases in new export orders. At 52.0 in April, down from 52.2 in March, the final seasonally adjusted Eurozone Manufacturing PMI (purchasing managers' index) came in a tick higher than its earlier flash estimate of 51.9.
Apr 29, 2015 - 12:04 PM
In April, after three consecutive months of improved readings, the Economic Sentiment Indicator (ESI) slightly fell in the Eurozone (-0.2 points to 103.7)— Germany and France posted declines — and rose in the EU (+0.3 points to 106.4).
Apr 28, 2015 - 7:33 AM
More than one-in-five EU part-time workers are underemployed according to data published Monday by Eurostat, the EU's statistics office. More than a quarter of part-timers in Ireland are underemployed.
Apr 23, 2015 - 9:21 AM
Eurozone business activity growth pulled back from March's 11-month high, according to flash PMI (purchasing managers' index) survey data for April. The slowdown reflected weaker rates of expansion in France and Germany, which offset an acceleration of growth in the rest of the region to the fastest since August 2007.
Apr 15, 2015 - 7:36 AM
Global investors see growing overvaluations in both bonds and equities and have signaled concern about a valuation bubble forming, according to the BofA Merrill Lynch Fund Manager Survey for April. With an estimated €1.5tn of euro sovereign bonds now showing negative yields, the Eurozone is increasingly seen as a debtors’ paradise. According to the FT more than two-thirds of euro denominated corporate bonds rated as investment grade now yield less than 1% as borrowing costs continue to tumble following the launch of quantitative easing in the Eurozone.
Apr 13, 2015 - 7:48 AM
In Part 1 of this series, we reported that German exporters are facing strong headwinds despite the recent lower euro rate compared with other significant currencies, according to a Deutsche Bank report. Global trade has been weak in recent years and in contrast to the development during the past decades it has grown even slower than global GDP. The bank economists say that the combination of the structural global trade slowdown, increased localization of production, demographic changes in Germany, the impact of recent economic policy decisions and further toughening of international competition are likely to be a considerable challenge over the medium term.
Apr 10, 2015 - 8:12 AM
German exporters are facing strong headwinds despite the recent lower euro rate compared with other significant currencies, according to a Deutsche Bank report. The combination of the structural global trade slowdown, increased localization of production, demographic changes in Germany, the impact of recent economic policy decisions and further toughening of international competition are likely to be a considerable challenge over the medium term.
Apr 1, 2015 - 8:51 AM
Two-thirds of new products flop in the market place within 2 years according to Germany's leading market research firm while over a third do not survive three months.
Mar 26, 2015 - 7:26 AM
Greece has a lot of economic problems, but being under-taxed is not one of them. In 2013, the latest year for which comparable data is available, actual government budget revenue in Greece was equivalent to 47% of GDP, the 12th highest level in the world, against 44% in Germany.
Mar 25, 2015 - 1:11 AM
The International Monetary Fund (IMF) questioned Switzerland on Monday for ignoring its advice last year, saying the Swiss National Bank’s decision to scrap its exchange rate ceiling has weakened the country’s economic outlook.
Mar 24, 2015 - 10:02 AM
Eurozone business activity grew at the fastest rate for almost four years in March. The Markit Eurozone PMI (purchasing managers' index) rose from 53.3 in February to 54.1 in March, according to the flash estimate based on an expected 85% of usual monthly replies, climbing for a fourth successive month to reach the highest since May 2011.
Mar 24, 2015 - 9:46 AM
One in 10 workers in the Eurozone will remain jobless despite the economic recovery according to ECB staff projections.
Mar 23, 2015 - 7:59 AM
Core revenues are getting better, loan losses are falling substantially and capital ratios have climbed to sustainable levels - European banks seem to have turned the corner in 2014, according to Deutsche Bank Research. Profits have more than doubled, asset growth has also resumed and banks have regained a bit of risk appetite. The outlook for 2015 is thus brighter than in most of the past few years. The still-elevated expenditure levels remain a significant drag on performance, though.
Mar 20, 2015 - 7:38 AM
An ESRI research note published today says long-term growth prospects for the Euro Area are grim even if unemployment and investment return to their pre-crisis rates by 2020.
Mar 19, 2015 - 7:30 AM
Global investors have significantly cut US equity allocations as belief grows that the US Federal Reserve will raise rates in the second quarter, according to the BofA Merrill Lynch Fund Manager Survey for March. While so far in 2015 the main European stock index (Euro Stoxx 600) has risen more than 15% compared with a flat S&P 500, there is skepticism about the European recovery that is boosting the rise in European shares.
Mar 19, 2015 - 4:59 AM
A study by the Bertelsmann think-tank and the ifo Institute at the University of Munich published Wednesday shows that the decline in collective bargaining is the number one factor in rising German wage inequality.
Mar 18, 2015 - 2:26 PM
The European Commission today presented a package of tax transparency measures as part of its ambitious agenda to tackle corporate tax avoidance and harmful tax competition in the EU. A key element of this Tax Transparency Package is a proposal to introduce the automatic exchange of information between member states on their tax rulings.
Mar 18, 2015 - 7:23 AM
A Eurozone finance minister has suggested that there are sufficient safeguards in place for the euro to survive a Greek exit. Meanwhile Alexis Tsipras, Greece's prime minister, will pay an official visit to Moscow on April 8 according to a report in Kathimerini, the Athens newspaper on Tuesday. It follows an announcement on Monday that the PM has accepted an invitation from Angela Merkel, German chancellor, to visit Berlin on March 23.
Mar 10, 2015 - 3:42 AM
A Greek court has charged 64 people including 13 Germans with bribery involving Siemens AG — Germany's and Europe's biggest industrial giant.
Mar 9, 2015 - 8:37 AM
German exports fell by the largest amount in five months in January and imports also declined according to Destatis, the federal statistics office, on Monday.
Mar 9, 2015 - 8:04 AM
For the EU, China became the second most important export market in 2014 with a share of 9.7%, trailing only the US (18.3%). Switzerland, which took the second largest share of EU exports in 2013 fell to the third rank.
Mar 4, 2015 - 10:22 AM
At a seven-month high of 53.7 in February, the Eurozone Services Business Activity Index / PMI (purchasing managers' index) signalled an acceleration in the rate of expansion of services output for the third month in a row. Business activity has now risen in each month since August 2013. However, the index posted slightly below the earlier flash estimate of 53.9. The latest expansion reflected a solid increase in new business, which rose at the quickest pace for eight months. The improved inflow of new work contributed to further growth of both backlogs of work and employment. Outstanding business increased for the second month running and to the greatest extent since May 2011.
Mar 3, 2015 - 11:26 AM
Germany and its neighbour Austria have full employment with unemployment rates below 5% and the smaller country has had one of Europe's lowest unemployment rates for a half century. Meanwhile a recent research note suggests that the US could learn from the success of German manufacturing where average manufacturing pay is almost a third higher than in the US.
Mar 3, 2015 - 2:03 AM
Germany achieved another export record again in 2014 with the total value of goods exports up by 3.7% to over €1.1tn. Out of the major sectors the automotive industry reported the highest export growth in 2014 (+6.5%), followed by pharmaceuticals (+6%) and electrical engineering (+3.6%). Chemicals (+1.1%) and mechanical engineering (+0.5%) posted below-average increases. Metals recorded a 2% decline.
Mar 2, 2015 - 2:40 PM
The Eurozone (EA19) seasonally-adjusted unemployment rate was 11.2% in January 2015, down from 11.3% in December 2014 , and from 11.8% in January 2014. This is the lowest rate recorded in the Eurozone since April 2012. The rates of Germany and Austria are below 5% — in effect full employment.
Mar 2, 2015 - 2:13 PM
Eurozone deflation risks receded in February as consumer prices moved closer to positive territory.
Mar 2, 2015 - 10:31 AM
The growth rate of the Eurozone manufacturing sector remained lacklustre in February. At 51.0, the final seasonally adjusted Eurozone Manufacturing PMI (purchasing managers' index) was unchanged from January’s six-month high and below the earlier flash estimate of 51.1.
Feb 25, 2015 - 7:28 AM
On Wednesday the new Greek government won the agreement of Eurozone's finance ministers to extend its €172bn bailout for four months after Athens presented a six-page letter with a list of economic reforms that will be implemented. However, the IMF and ECB expressed reservations about the list.
Feb 25, 2015 - 3:41 AM
The flash PMI (purchasing managers' index) for February has risen slightly but the annual Spring Festival also known as the Chinese new year makes the survey unreliable. It's also likely that the panel response was low.
Feb 24, 2015 - 7:27 AM
A shortage of risk capital and under-developed capital markets are holding back growth in Europe, according to a new study comparing financing for business in Europe with the US.
Feb 20, 2015 - 9:24 AM
Growth of business activity in the Eurozone economy hit a seven-month high in February, according to the ‘flash’ reading of the Markit Eurozone PMI (purchasing managers' index). The survey’s Composite Output Index rose from 52.6 in January to 53.5.
Feb 20, 2015 - 5:22 AM
Germany on Thursday rejected a letter from Yanis Varoufakis, Greek prime minister, to Jeroen Dijsselbloem, to his Dutch counterpart who is also president of the Eurogroup of Eurozone finance ministers, requesting a six-month extension of the current bailout agreement that is due to expire at the end of the month. Germany swiftly rejected the letter terming it a "Trojan Horse" as it set out new conditions and Berlin demanded a simple 3-sentence letter from Athens.
Feb 13, 2015 - 10:22 AM
Seasonally adjusted GDP rose by 0.3% in the euro area (EA18) and by 0.4% in the EU28 during the fourth quarter of 2014, compared with the previous quarter, according to flash estimates published by Eurostat, the statistics office of the European Union. In the third quarter of 2014, GDP grew by 0.2% in the euro area and by 0.3% in the EU28.
Feb 13, 2015 - 7:09 AM
German economic output growth accelerated in Q4 2014 but French GDP growth just managed to stay above the stagnation level. The German economy gained momentum towards the end of 2014, according to Destatis, the federal statistics office. In the fourth quarter of 2014, the gross domestic product (GDP) rose 0.7% on the third quarter of 2014 after adjustment for price, seasonal and calendar variations.
Feb 11, 2015 - 7:17 AM
We have in the past compared the euro to "Hotel California," the 1970s song by the Eagles rock group, which has the lyrics "You can checkout any time you like/ But you can never leave!" This month Jean-Pierre Roth, former head of the Swiss National Bank, Switzerland's central bank, said that there is no way out of the euro. “The chaos would be overwhelming.”
Feb 11, 2015 - 7:11 AM
Chinese investment into Europe is at record levels and at 50% higher than the US level. With 153 separate investments worth $18bn last year, Europe has emerged as one of the top destinations for Chinese foreign investment globally. The UK is the top destination and $55bn has been invested in Europe in five years but IDA Ireland, the Irish inward investment agency, has yet to have an impact.
Feb 9, 2015 - 9:11 AM
Despite sluggish growth in most of the world and sanctions on Russia, German exports were at a record in 2014 and the trade surplus also surged to a record high.
Feb 5, 2015 - 4:15 PM
For the first time since 2007, the economies of all European Union (EU) member states are expected to grow again this year - some slightly.
Feb 4, 2015 - 9:20 AM
The Eurozone service sector saw the growth rate of business activity accelerate to a five-month high in January. At 52.7, up from 51.6 in December, the Eurozone Services Business Activity Index signalled that the current sequence of expansion now runs to one-and-a-half years. Business optimism† also improved, hitting a ten-month high.
Feb 4, 2015 - 5:36 AM
Italy's SMEs (small and medium size enterprises) are poor exporters compared with counterparts in Germany and Spain according to the a report by an Italian public agency.