EMU DATA: 3Q REAL GDP UNREV +0.2% Q/Q,+1.4% Y/Y –EMU 3Q private consumption +0.3% Q/Q; 2Q -0.5%; 1Q +0.1% –EMU 3Q fixed capital formation +0.1% Q/Q; 2Q unch; 1Q +1.9% –EMU 3Q government consumption unch Q/Q; 2Q -0.1%; 1Q unch –EMU Net exports added 0.2 pp to 3Q GDP; 2Q +0.4; 1Q +0.3 –EMU 3Q [...]

Q3 exports +1.5% q/q, Imports  +1.1%, Govt consumption unchanged, Private consumption +o.3% EUR/USD not reacting to the data which was in line with expectations sitting at 1.3378  

BERLIN (MNI) – German Chancellor Angela Merkel on Tuesday again stressed that overcoming the Eurozone’s sovereign debt crisis will be a relatively long process. “I’ve always said it will be a longer process which will continue for a longer time,” Merkel told reporters here. Pointing to the German-Franco proposals revealed on Monday, Merkel said the [...]

London (MNI) – The threat from deteriorating euro zone sovereign bond markets and banking sectors remains the ‘most material’ one to UK financial stability, the Bank of England’s Financial Policy Committee says. In the report of its Nov 23 meeting, the Interim FPC says that, while the exposure of UK banks to the waekest of [...]

Bank’s return-on-equity targets too high, do not reflect tougher rules May be costs to curbs on dividends and bonuses for boosting banks’ capital Basel rules focus on risks to individual banks in normal economic times Concerned that risk weights for bank assets deter beneficial leanding to real economy Some members think external minimum risk weights [...]

We’ve slipped back to 1.3360 after a session high of 1.3387 this morning in Europe Sell stops are waiting down below through 1.3330 and 1.3320

Forthcoming summit  will be used to win back confidence and will continue on it’s planned path Euro stabilization will be a  long process. Summit will take important decisions on Thursday and Friday

We went down to 1.0156 earlier after some light sell stops were triggered down through 1.0160, but am told from a reliable antipodean source that the bigger stops are now positioned on a break down of 1.0150. Real money have been seen buying under 1.0170 most of the morning. Same guy tells me he was [...]

PARIS (MNI) – Monday’s warning by the rating agency Standard & Poor’s on the credit status of Eurozone member states ignores the latest Franco-German proposals to counter the sovereign debt crisis, France’s ministers for finance and the budget said in response. S&P’s negative watch “does not take into account the very important announcements made by [...]

Yes they’ve been notable buyers in this recent bounce from 1.3332.  We are at 1.3380. (yesterday we had reports of them selling in 1.3450/60 area, so nice big figure profit in the bin)

–Correcting title from Finance Minister to Economy Minister BERLIN (MNI) – Portuguese Economy Minister Alvaro Santos Pereira said in a newspaper interview published Tuesday that the country is well underway to meet the deficit goals set under the EU-IMF aid program. The government will be able to cut the deficit to 5.9% of GDP this [...]

Hooray for good old China……… No downgrade for them then…….

– Prices Down 0.6% In 3 Months To Nov Vs Previous 3-Month Period LONDON (MNI) – UK house prices fell by 0.9% in November from October and were down 1.0% in the three months to last month from the same period a year ago, according to the Halifax House Price Index. Prices were 0.6% down [...]

Warning will help Merkel and Sarkozy push through their plan EUR/USD has bounced back to 1.3375 at wrting from session low 1.3332.

Weaker than Reuters’ median forecasts +0.1%, -0.3% respectively. Deflationary pressures picking up. Who would have thunk it?  Well, me for one. EUR/CHF up at 1.2390 from 1.2345 when I parked my bum. Been as high as 1.2405.

Euro zone economy has strong capacity for rebound Franco-German euro zone proposals are “extremely strong” French banks are solid French banks can build capital without state funds No fears at all on French banking sector Credit for companies remains relatively cheap in France

BERLIN (MNI) – Portuguese Finance Minister Alvaro Santos Pereira said in a newspaper interview published Tuesday that the country is well underway to meet the deficit goals set under the EU-IMF aid program. The government will be able to cut the deficit to 5.9% of GDP this year and to below 3% in 2013, Pereira [...]

The coming euro summit is a chance to turn things round

Dow Jones reporting. Bundesbank against using IMF funding directly for EFSF – Report Dow Jones reporting. Comes from German Daily Frankfurter Allgemeine Zeitung.