PARIS (MNI) – Italy’s economy has lost momentum and has probably fallen into recession in the fourth quarter, but more fiscal austerity is needed in order for the country to regain its credibility in financial markets, the Organization for Economic Cooperation and Development said Monday. “Growth was probably negative in late 2011 and is projected [...]

By Heather Scott WASHINGTON (MNI) – The Federal Reserve still has options to buoy the U.S. recovery, which has “lost significant momentum” and now faces fiscal policy that is restraining rather than aiding growth, the OECD said Monday in its semi-annual economic outlook. The weak labor market and sentiment are dampening demand, and fiscal policy [...]

PARIS (MNI) – With a sharp slowdown in growth triggered by the Eurozone debt crisis, France may have slipped into a “short, shallow” recession, the Organization for Economic Cooperation and Development said on Monday. In its semi-annual Economic Outlook, the OECD said it expected France’s economy to grow by just 0.3% in 2012, before recovering [...]

LONDON (MNI) – Further quantitative easing by the Bank of England is warranted even though the present monetary policy stance is highly accommodative, the Organisation for Economic Cooperation and Development says in its latest Economic Outlook. The OECD assumes in its latest forecast that the BOE will buy Stg400 billion of gilts or 40% of [...]

PARIS (MNI) – The German economy is facing a period of slower growth because of a weaker pace of world trade and a loss of business confidence tied to the European debt crisis, the Organization for Economic Cooperation and Development said on Monday. The organization forecast that German GDP would expand by 0.6% in 2012 [...]

PARIS (MNI) – The fate of the world’s economy lies largely in the hands of the policy-makers, who must contain the debt crisis in the Eurozone and counter the planned fiscal tightening in the US to avert a deep recession, the Organization for Economic Development and Cooperation said Monday. Central banks should keep interest rates [...]

Lowers US GDP forecast for 2012 to 2.% from 3.1% Lowers OECD forecast for 2012 to 1.6% from 2.8% lowers EU forecasts for 2012  0.2% from 2%, China down to 8.5% from 9.2%, and Japan to 2% from 2.2%

Been up to 0.9933 just now . Tech resistance is up at 0.9985/90 (Nov 21  high of 0.9988) ahead of stronger resistance 1.0000/20

October sa M3: +2.6% y/y M3 sa 3-mo avg: +2.8% y/y SA private loans: +2.7% y/y MNI survey median: October sa M3: +3.3% y/y M3 sa 3-mo avg: +3.2% y/y SA private loans: +2.5% y/y MNI survey range: October sa M3: +2.5% to +3.8% y/y M3 sa 3-mo avg: +2.8% to +4.0% y/y SA private [...]

Apparently 0.9260  and 0.9240 tripped  some decent sell stops to 0.9221.  Bids are seen around  0.9215 and 0.9190/00 (10 day MA is 0.9195), with more sell  stops  under 0.9190. Topside  offers seen at 0.9305/10 and there are a couple of option strike levels today  at 0.9300 and 0.9350 We’re sitting around 0.9225

Due to better than expected budget developments. Well ain’t you the dogs’ bollocks UPDATE:   EUR/USD sell orders noted layered from 1.3365 all the way up to 1.3395. We’re presently at 1.3350 having been as high as 1.3363.  

Being told there are some reasonable offers scattered up from 0.9890 up to around 0.9920, but buy stops likely on a break of the latter level. (Other reports are that stops are mixed in around the 0.9900, but a reliable Ozzie bank informs me they have just offers through till 0.9920) We’ve been up to 0.9891 [...]

I think we already gathered that.

North-Rhine Westphalia CPI November: -0.1% m/m, +2.1% y/y October: -0.3% m/m, +2.3% y/y — Hesse CPI November: flat m/m, +2.3% y/y October: flat m/m, +2.4% y/y — Brandenburg CPI November: +0.2% m/m, +2.6% y/y October: +0.1% m/m, +2.4% y/y — Pan-German CPI MNI median forecast: flat m/m, +2.4% y/y MNI forecast range: -0.1% m/m to [...]

ITALY DATA: November business confidence rose to 94.4 from 94.2 in October on improving expectations of orders, posting the highest level since September 2011, ISTAT said. –November current orders fell to -31 in November from -29 in October; while current inventory levels remained stable at +1 and the 3-month outlook for output increased to 2 [...]

GERMANY DATA: Consumer prices in Hesse were unchanged on the month in November, resulting in prices up 2.3% on the year, the state’s statistical office reported on Monday. Forecasts for Germany as a whole are for prices to remain unchanged m/m to give an annual inflation rate of 2.4%. – For details see MNI MainWire

From revised 94.2 in October, better than median forecast of 93.0.

Europe stoxx 600 bank index up very healthy 3%. NYM light crude up around two and three quarter bucks at $99.55. Gold up at $1712.50 from around $1705 when I first sat down. Risk on. EUR/USD up at 1.3325, leveraged buyers noted. UPDATE:  Italian 2 year govt bond yield now comfotably back below 8% at [...]

China Investment Corp (CIC), the country’s $410 bn sovereign wealth fund, announces plans for new investment in UK. If you want to read the story do a google search using the headline. Spelling Osborne’s name correctly might help