CNBC's Karen Tso reports on all the market moving events from Europe, as investors focus on U.S. Fed tapering plans.» Read More
With other central banks acting to create money out of thin air because they cannot lower short-term interest rates any further, the ECB remains wary of the specter of inflation.
Call it what you will: an act of rebellion; blind myopia; a cry for help … but I'm actually starting to believe in the global recovery story.
The Federal Reserve has no option but to start buying Treasurys as the government's needs for financing are huge, but the government bond market is a disaster in the making, Marc Faber, editor and publisher of The Gloom, Boom & Doom Report, told CNBC.
The stock market is still an unsafe place for investors as quantitative easing, by which central banks boost the supply of money attempting to kick-start economies, is unlikely to work, Hugh Hendry, Chief Investment Officer at Eclectica, told CNBC.
We might have strayed a bit from the rulebook on a good dinner party this morning as we sat back and watched hedge fund manager Hugh Hendry of Eclectica lock horns with Liam Halligan, the chief economist at Prosperity Capital and maverick columnist for the UK’s Telegraph newspaper.
Acres of forest have gone to the blade while the mainstream media has debated the issue of bank nationalization, but few if any seem to be prepared to address what seems obvious: the most important banks are already under government control.
Central banks' efforts to introduce measures such as buying various assets and printing money as they bring their interest rates to zero will not work in countries with too high levels of debt, Hugh Hendry, Chief Investment Officer at Eclectica, told CNBC.
The Bank of England and European Central Bank slashed their interest rates to record lows today in an effort to bolster access to credit and contain the impact of a deepening recession.
The figure of $1.3 trillion for the exposure of Western banks to the Central and Eastern European region reported by the Bank for International Settlements is too high, Andreas Treichl, CEO of Erste Bank, one of the biggest banks operating in CEE, told CNBC Wednesday.
The leaders of the European Union gathered Sunday in Brussels in an emergency summit meeting that seemed to highlight the very worries it was designed to calm: that the world economic crisis has unleashed forces threatening to split Europe into rival camps. The New York Times reports.
UK banks are guilty of manipulating the country’s loose regulations to undercut their European competitors and should be regulated by a pan-European body, Hans-Werner Sinn, president of the Ifo Institute for Economic Research, told CNBC Wednesday.
The development boom that turned Poland, Hungary and other former Soviet satellites into some of Europe’s hottest markets is on the verge of going bust, raising worrisome new risks for the global financial system that may ricochet back to the United States.
Nationalizing insolvent US banks is the best solution to avoid a Japan-like scenario in which 'zombie' financial institutions would eat up public resources while the US economy would teeter on the brink of depression, Nouriel Roubini, economics professor at NYU and chairman at RGE Monitor told CNBC Tuesday.
The scale of Europe’s recession could be as bad as the decade-long slump suffered by Japan during the 1990s, Marino Valensise, chief investment officer of Barings, told CNBC.com.
Investors will have to short government bonds at some point despite their current attraction, as the amount of debt issued is "staggering" and inflation risks are down the road, Jim Rogers, CEO of Jim Rogers Holdings, told CNBC Tuesday.
Billionaire investor Warren Buffett has led the charge into the battered stock market of late by making large acquisitions at a time when most investors are fiercely protecting their cash. One analyst told CNBC that even though he is suffering some heavy losses in the short term, the strategy will pay off.
The Fed could cause Zimbabwe-like inflation making the US a 'banana republic,' famous bear Marc Faber said.
Stocks eked out a gain after a rough morning as banks got a boost from market chatter that the government may suspend a controversial accounting rule blamed for much of the contagion in the financial industry.
Top executives at companies taking government money from the TARP will likely see their pay slips capped at $500,000 under a new initiative to be announced Wednesday by President Barack Obama. But one analyst told CNBC that the move could have a negative effect.
US and global stocks are still likely to fall because the corporate and economic news will be worse than expected, Nouriel Roubini, RGE Monitor Chairman, told CNBC in Davos.