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Thread: Eurozone gets fresh help to bolster flagging growth

  1. #1

    Eurozone gets fresh help to bolster flagging growth

    More 0% interest rates and stimulus. That's really going to work!

    The European Central Bank has unveiled fresh stimulus measures to bolster the eurozone, including cutting a key interest rate.

    The deposit facility rate, paid by banks on reserves parked at the ECB, was already negative, but has now been cut from minus 0.4% to minus 0.5%.

    The ECB also said it was re-starting quantitative easing. It will buy €20bn of debt a month from 1 November.

    The eurozone's main interest rate has remained unchanged at zero.

    The moves come as the ECB combats an economic slowdown. The bank said its asset purchase programme would "run for as long as necessary", while interest rates would remain "at their present or lower levels" until eurozone inflation reached its target rate of 2%.

    Quantitative easing, or QE, is a way for central banks to pump money into the financial system when interest rates are ultra-low and conventional stimulus methods no longer work.

    The central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.

    Making more money available in this way is supposed to encourage financial institutions to lend more to businesses and individuals.

    Under its previous QE programme, the ECB bought €2.6 trillion of bonds between 2015 and 2018.
    https://www.bbc.co.uk/news/business-49674176



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  3. #2
    The EU collapse is not far off.
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  4. #3
    Quote Originally Posted by Swordsmyth View Post
    The EU collapse is not far off.
    Germany is headed for recession.

  5. #4
    Quote Originally Posted by Warlord View Post
    Germany is headed for recession.
    After that the wars will start.
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  6. #5
    Quote Originally Posted by Swordsmyth View Post
    After that the wars will start.
    You mean the people vs. the migrants? Germany have taken in nearly a million.

  7. #6
    Quote Originally Posted by Warlord View Post
    You mean the people vs. the migrants? Germany have taken in nearly a million.
    That and different countries fighting to end or keep the EU or fighting over who owes what.

    I envision a horrible mess with many sides.
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  8. #7
    Quote Originally Posted by Swordsmyth View Post
    That and different countries fighting to end or keep the EU or fighting over who owes what.

    I envision a horrible mess with many sides.
    Southern Europe is already a terrible mess. Youth unemployment in Greece and Spain is like 40-50%.

    Yet this is the vision that Zippy and others promote.

  9. #8
    Quote Originally Posted by Warlord View Post
    Southern Europe is already a terrible mess. Youth unemployment in Greece and Spain is like 40-50%.

    Yet this is the vision that Zippy and others promote.
    They were a mess long before the immigration wave.

    Germany and the UK both had negative growth in GDP in their latest quarterly figures. Brexit will likely make things worse in Britain.



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  11. #9
    Quote Originally Posted by Zippyjuan View Post
    They were a mess long before the immigration wave.
    Pouring gasoline on a fire is a bad idea.
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  12. #10
    Quote Originally Posted by Zippyjuan View Post
    Brexit will likely make things worse in Britain.
    Not likely but even if it does it will make them much better in the long run.
    Never attempt to teach a pig to sing; it wastes your time and annoys the pig.

    Robert Heinlein

    Give a man an inch and right away he thinks he's a ruler

    Groucho Marx

    I love mankind…it’s people I can’t stand.

    Linus, from the Peanuts comic

    You cannot have liberty without morality and morality without faith

    Alexis de Torqueville

    Those who fail to learn from the past are condemned to repeat it.
    Those who learn from the past are condemned to watch everybody else repeat it

    A Zero Hedge comment

  13. #11
    Quote Originally Posted by Zippyjuan View Post
    They were a mess long before the immigration wave.

    Germany and the UK both had negative growth in GDP in their latest quarterly figures. Brexit will likely make things worse in Britain.
    If Germany and the UK slide into recession, what's going to happen to the immigrants? The welfare system will be overwhelmed. Milton Friedman once said you can't have immigration and a welfare state.

  14. #12
    Quote Originally Posted by Warlord View Post
    If Germany and the UK slide into recession, what's going to happen to the immigrants? The welfare system will be overwhelmed. Milton Friedman once said you can't have immigration and a welfare state.
    What happened to immigrants in the last recession?

  15. #13
    Quote Originally Posted by Zippyjuan View Post
    What happened to immigrants in the last recession?
    A lot of them went back home.

  16. #14
    Quote Originally Posted by Warlord View Post
    A lot of them went back home.
    That is when the net migration from Mexico turned negative.

  17. #15
    Quote Originally Posted by Zippyjuan View Post
    They were a mess long before the immigration wave.

    Germany and the UK both had negative growth in GDP in their latest quarterly figures. Brexit will likely make things worse in Britain.
    African men child migrants should be brought back to Africa if none are Libyan.



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