Created
: 2024.11.18
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
ECB's de Guindos: Balance of risks has shifted from concerns about high inflation to fears over growth
World FX news
Breaking news
ECB's de Guindos: Balance of risks has shifted from concerns about high inflation to fears over growth
New
2024.11.18 18:34
2024.11.18 18:34
2024.11.18 18:34
European Central Bank (ECB) Vice President Luis de Guindos said on Monday that "the balance of risks has shifted from concerns about high inflation to fears over economic growth."
Additional takeaways
The growth outlook is clouded by uncertainty about economic policies and the geopolitical landscape.
Trade tensions could rise further, increasing tail risk of events materializing.
Market reaction
These prudent remarks from the ECB policymaker fail to deter the Euro's recovery, as the EUR/USD pair edges 0.25% higher on the day to near 1.0570 at the press time.
ECB FAQs
The European Central Bank (ECB) in Frankfurt, Germany, is the reserve bank for the Eurozone. The ECB sets interest rates and manages monetary policy for the region. The ECB primary mandate is to maintain price stability, which means keeping inflation at around 2%. Its primary tool for achieving this is by raising or lowering interest rates. Relatively high interest rates will usually result in a stronger Euro and vice versa. The ECB Governing Council makes monetary policy decisions at meetings held eight times a year. Decisions are made by heads of the Eurozone national banks and six permanent members, including the President of the ECB, Christine Lagarde.
In extreme situations, the European Central Bank can enact a policy tool called Quantitative Easing. QE is the process by which the ECB prints Euros and uses them to buy assets - usually government or corporate bonds - from banks and other financial institutions. QE usually results in a weaker Euro. QE is a last resort when simply lowering interest rates is unlikely to achieve the objective of price stability. The ECB used it during the Great Financial Crisis in 2009-11, in 2015 when inflation remained stubbornly low, as well as during the covid pandemic.
Quantitative tightening (QT) is the reverse of QE. It is undertaken after QE when an economic recovery is underway and inflation starts rising. Whilst in QE the European Central Bank (ECB) purchases government and corporate bonds from financial institutions to provide them with liquidity, in QT the ECB stops buying more bonds, and stops reinvesting the principal maturing on the bonds it already holds. It is usually positive (or bullish) for the Euro.
Last updated
: 2024.11.18
Related articles
BoE speakers to speak on November 19 on monetary policy - DBS
3 minutes agoUSD: Trump Trade may lose momentum - DBS
9 minutes agoMexican Peso retreats again after three-day recovery
15 minutes agoUSD/CAD clings to gains near 1.4100 as Canadian inflation data takes center stage
16 minutes agoCrude Oil ticks up as Russia-Ukraine tensions intensify, yet bearish undertone persists
18 minutes agoECB's Makhlouf: Overwhelming evidence needed to consider a 50 bps cut in December
21 minutes ago
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
BoE speakers to speak on November 19 on monetary policy - DBS
GBP/USD has a trendline support level of around 1.2570, DBS' Senior FX Strategist Philip Wee notes.
New
2024.11.18 20:41USD: Trump Trade may lose momentum - DBS
The Dollar Index (DXY) rebounded by 5.9% to 106.7 in the past 1.5 months, following its 4.8% decline to 100.8 in 3Q24, DBS' Senior FX Strategist Philip Wee notes.
New
2024.11.18 20:35Mexican Peso retreats again after three-day recovery
The Mexican Peso (MXN) edges lower in its key pairs on Monday after three consecutive days of mild gains.
New
2024.11.18 20:29USD/CAD clings to gains near 1.4100 as Canadian inflation data takes center stage
USD/CAD stays firm near 1.4100 as the US Dollar performs strongly across the board.
New
2024.11.18 20:28Crude Oil ticks up as Russia-Ukraine tensions intensify, yet bearish undertone persists
Crude Oil price is trading below $68.00 on Monday, ticking up slightly following the escalation in the war between Russia and Ukraine over the weekend. Russia launched a large air strike to hit Ukraine's power grid, while US President Joe Biden's
New
2024.11.18 20:26ECB's Makhlouf: Overwhelming evidence needed to consider a 50 bps cut in December
European Central Bank (ECB) Governing Council member and Central Bank of Ireland Governor Gabriel Makhlouf said on Monday that overwhelming evidence would be needed to consider a 50 basis points rate cut in December, pre Reuters.
New
2024.11.18 20:23USD/CNH: Likely to trade in a range of 7.2250/7.2500 - UOB Group
The US Dollar (USD) is likely to trade in a range of 7.2250/7.2500.
New
2024.11.18 20:05USD/SGD: Rising wedge - OCBC
USD/SGD eased into Fri NY close and continued to trade on the back foot this morning.
New
2024.11.18 20:02British growth slows again somewhat - Commerzbank
The UK economy grew at a slightly slower pace in the third quarter than economists polled by Bloomberg had expected.
New
2024.11.18 20:00USD/JPY: Set to drop below 153.85 - UOB Group
Chance for US Dollar (USD) to drop below 153.85; the major support at 153.20 is unlikely to come under threat.
New
2024.11.18 19:57Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
