Financial Communique » ECB

Cruide oil price shaprly decreased

Viliyana Filipova — Fri, 02 Jul 2010 23:04:03 +0000

Euro recorded strong growth of over 2 percent against the U.S. dollar yesterday, gaining support from weak U.S. economic data and encouraging signals of financial stability in the euro area. This caused a significant drop in the price of oil and gold, which yesterday lost more than 3% of its value. The single currency has reached the level 1,25 EUR / USD, which is its highest value since June 21. The appreciation came after news of another problem in the U.S. housing market and because of data problems in the labor market and the slowing of production activity. Meanwhile, the ECB yesterday organized an auction for commercial banks’ lending, which was used quite a bit of financial institutions. This and the success of the bond issue in Spain, have strong support of the single currency. On the New York Stock Exchange yesterday, oil contracts with delivery in August dropped by 3.5 percent to 72.95 dollars a barrel. This is the lowest cost of raw material from 8 June onwards, and earlier this morning quotes remain at the same level. This means that travel week black gold has dropped by as much as 7.2 per cent, taking the greatest decrease in the week since May 7.
Yesterday in London, Brent crude oil from the supply in August lowered its price by 3.6 percent to 72.34 dollars a barrel. This morning oil of this variety increased its price by 0.25 percent to 72.51 dollars a barrel.

Bernanke and Trichet: Developing countries are important for the financial stability

Viliyana Filipova — Sun, 30 May 2010 14:23:13 +0000

The leaders of the U.S. Federal Reserve Ben Bernanke and European Central Bank (ECB) Jean-Claude Trichet stressed in separate statements that developing economies are a key factor for global financial stability. According to Bernanke the global economy increasingly dependent on emerging markets to maintain strong domestic demand and economic and financial stability. The improvement of policies and regulatory frameworks in emerging markets has an effect beyond those economies themselves, he said. In a separate statement prepared for a press conference during a meeting of finance ministers and heads of central banks of the G-20 in South Korea at the end of this week, Trichet stated that developing economies have been a source of strength in the world financial crisis. Characteristic aspect of this crisis was that going from industrialized economies. Developing countries were also severely affected, but as a group remained the lifeblood of the global economy, Trichet said in a pre-prepared statement for the press conference. Speaking of Bernanke is also pre-recorded for the event. Bernanke gives an example South Korea, saying the government and the central bank of the country, launched after the Asian financial crisis of the late 90’s of last century, helped South Korea to resist the current crisis.
Actions included the accumulation of budget and trade surpluses, and forcing banks to prepare for crisis situations. Moreover, the central bank has focused on price stability in the country rather than on stabilizing the exchange rate, which has helped the country during the crisis, Bernanke stresses.

Greece will remain in the euro area, according to Soros

Viliyana Filipova — Wed, 10 Feb 2010 09:41:09 +0000

The billionaire investor George Soros said he believes in the ability of Greece to remain in the euro area. He also said that the eyes of market participants are currently targeting the debt problems of several countries, including Greece stands in the foreground. “I believe that Greece will do whatever is necessary to meet the requirements to remain in the euro area,” said Soros told reporters in Jakarta. Among the main reasons the country is fighting for his membership in the euro area is that when the ECB adopts its bonds as collateral for a loan of commercial banks. In the event that the country lost the credit rating, however, its securities will no longer meet the necessary conditions and will not be accepted as collateral. “Support in Greece aims to achieve, I hope the EU, the ECB and the euro area to find a way to finance the country which is not too expensive to support,” said Soros, quoted by Bloomberg.
The American economist Nouri Rubies in turn said that the decision of European leaders to help Greece is a step in the right direction. ” According to him, however, the most appropriate in the long term the country would take a loan from European countries and the International Monetary Fund. George Soros has gained worldwide fame when in 1992 Britain refused membership of the eurozone. Then he made several subsequent pledge of 1 billion dollars in the direction that the country will be able to keep its currency within the currency regime before entry into