The European Central Bank's decision to buy government bonds in the secondary markets will likely stop speculators, but it may push the euro down by more than 10 percent.
Much of the demand for the precious metal is reportedly coming from Germany, where the memory of hyperinflation continues to significantly influence thinking.
The Queen was made to hang around for 5 days this week while her elected representatives attempted to form Britain’s next government.
Last Thursday’s intraday volatility, which saw the Dow plummeting nearly 1000 points, has left European investors tentative about Wall Street, according to market participants.
The great recovery is an illusion, and the banking crisis is likely to be very costly for the world economy, according to economist Jamie Dannhauser at Lombard Street Research.
The only thing missing from the weekend’s $1 trillion rescue package for Europe is a good acronym, Timothy Scala, a macro strategist at hedge fund Sophis Investments told CNBC.com Wednesday.
The UK election just got a lot more interesting in a big negative way for the British pound.
What the European leaders really meant to do with their big-bang, trillion-dollar sovereign-debt rescue was to save the euro currency, not to bury it. But with the cave in by European Central Bank head Jean-Claude Trichet (formerly a hard-money man and closet gold watcher) to use the "nuclear option" to buy up dubious sovereign debt, the euro is likely to keep depreciating.
If the support package put smiles back on the faces of the politicians, it did little to lift the mood of the business people gathered at the WEF meeting in Brussels.
The unprecedented action by European politicians and bankers has led to a massive sigh of relief from investors, because the ECB is promising to buy European government debt—in the open market—for the first time ever.
Recall that many global markets and several sectors hit highs in April - before accumulating losses through Friday's trading.
Europe's $1 trillion bailout fund might alleviate some of concerns that its debt problems could spread to the US, Philadelphia Fed President Charles Plosser told CNBC Monday
Twenty-seven European nations and the IMF agreed to a mammoth E750 billion plan to stabilize the financial markets.
The expected surge in share prices this morning is accompanied by sighs of relief and breathless anticipation of new highs. THIS IS NOT RESILIENCE! This is the effect of a trillion dollar injection. It represents new debt and commitments to support governments that have not lived within their means.
By establishing a 750 billion euro fund to bailout Greece and aid other struggling governments, Germany and other strong European states are chasing a dream—a single European currency and broader European unity—that may have no place in reality.
The European emergency rescue package is impressive in scale, but fails to address three key questions, Simon Derrick, chief currency strategist at Bank of New York Mellon, told CNBC Monday.
The International Monetary Fund and, crucially, the European Central Bank on Sunday unveiled a €720 billion ($936 Billion) emergency rescue package to help stabilize markets and prevent the break-up of the euro.
The EU's 500 billion-euro crisis fund will provide 'immediate relief'; however, austerity measures attached to the bailout will harm the growth prospects of the Eurozone, said Beat Lenherr, chief global strategist at LGT Capital Management.
It was pretty wild out there. But instead of chalking this up as simply panic in the market, we should see it as a huge wake up call. All is not well.