Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


While you were sleeping: Germany's signs of recovery

While you were sleeping: Germany's signs of recovery

Jan 22 (BusinessDesk) – Equities in Europe advanced as Germany's central bank said the nation's economy is showing signs of recovery in the first quarter of the year.

"The largely stable labour market and a better outlook for output suggest that the economic weakness won’t last all that long,” according to the Bundesbank in its monthly report released today.

The bank forecasts the economy to grow 0.4 percent in 2013 year and 1.9 percent in 2014. Europe's largest economy contracted 0.5 percent in the fourth quarter of 2012, data last week showed.

Meanwhile, euro zone finance ministers gathered for their first meeting of the year. At the top of their agenda is the financial situation in several peripheral economies including Spain. In addition, the ministers will be discussing how to provide financial help directly to the region's banks.

Europe's Stoxx 600 Index ended the day with a 0.3 percent increase from the previous close. Germany’s DAX and France's CAC 40 both climbed 0.6 percent, while the UK's FTSE 100 rose 0.4 percent.

Transportation remains snarled in the UK and France as a winter storm buffets the area, renewing concerns about the economic outlook. In Germany, a weekend electoral loss for Chancellor Angela Merkel's coalition could block efforts for her government to pass legislation.

US markets were closed for the Martin Luther King Jr holiday on Monday as President Barack Obama celebrated the official start of his second four-year term.

Republicans are gearing up for a Wednesday vote that is expected to provide temporary relief for the US Treasury's debt ceiling, expected to be reached as early as next month.

The yen rose against the greenback, climbing from the lowest level since June 2010, amid expectations the Bank of Japan will announce further monetary policy easing measures.

The central bank's two-day policy meeting is expected to result in a doubling of the inflation target and an expansion of its asset-purchase program. The BOJ will increase asset purchases this week, according to all 23 economists in a Bloomberg News survey, with the median estimate for a 10 trillion-yen increase.

"It’s hard to see what the BOJ could say … that would exceed market expectations,” Daragh Maher, a currency strategist at HSBC Holdings in London, told Bloomberg News. “It’s a natural positioning ahead of the Bank of Japan’s meeting given the yen’s decline.”

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Pre-Budget: Computer Emergency Response Team, Assemble!

John Key told the country's first ever Cyber Security Summit in Auckland that the government had earmarked funding set up a national Computer Emergency Response Team to help prevent and act on cyber incidents in partnership with the private sector and other organisations. More>>

ALSO:

Job Cutter Goes: Mark Weldon To Step Down As MediaWorks CEO

“When I joined MediaWorks in August 2014, I had a mandate to lead a significant change programme to bring the business back from receivership into a position where it could once again be a strong competitor in the market, with a sound and sustainable future. It was a big brief, laden with inherent challenges, but I took it in good faith and have dedicated myself fully to the goal since." More>>

ALSO:

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news