10 jul: Obligationer/middag: Spanske renter på retræte
10 jul: Aktier/middag: Cykliske aktier topper C20
10-07-2012 11:50:00

ECB Noyer: Ready to Act, but Conditions Not Right for SMP

Relateret indhold

By William Horobin

PARIS--Bank of France governor and European Central Bank policy maker Christian Noyer said Tuesday that while the central bank remains ready to act within its mandate, the conditions aren't right to reignite its sovereign debt buying scheme.

"The eurosystem stands ready to act, within the framework of its mandate and competencies," Mr. Noyer said in a letter to French President Francois Hollande, accompanying the Bank of France's annual report. "But, in the current circumstances, the effectiveness of its action greatly depends on the decisions concerning the future of the euro area, its governance and its functioning as well as their actual implementation," he said.

In a speech at the Bank of France in Paris, Mr. Noyer explained that the Securities Markets Program--under which the ECB bought around 214 billion euros ($263 billion) of government debt on and off over two years--hasn't been considered as appropriate by the ECB since the beginning of the year and it is now a question of restoring investor confidence. That confidence should be restored with fiscal consolidation and the full implementation of stability mechanisms, such as the European Stability Mechanism that was recently given the green light to buy government debt on markets.

Mr. Noyer also argued that the SMP helped to alleviate short-term financial tensions but it is only governments that can deliver long-term remedies.

Mr. Noyer said that the ECB's decision to cut its refinancing rate and deposit rates by 25 basis points to 0.75% and 0% respectively was, in reality, a "massive operation," because of the trickle down effect it will have on rates through banks. By cutting the deposit rate, the ECB hopes it will discourage banks from depositing at the ECB and will help revive the interbank market, even though it will take time to have an effect.

In Mr. Noyer's letter and speech, he said it is important for the French government to continue consolidating public finances to maintain confidence and boost growth. The French economy also needs to be much more flexible and changes to labor laws are particularly important in this regard, he said.

Write to William Horobin at william.horobin@dowjones.com

(END) Dow Jones Newswires

July 10, 2012 05:50 ET (09:50 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

Opret kommentar

Relateret debat

  • 1 uge
  • 1 måned
  • 1 År
Ingen indlæg

Aktier/tendens: Nets kan tage fokus i let positivt marked

28-02-2017 08:28:00
Tirsdag morgen kan investorernes opmærksomhed samle sig om Nets, der er kommet med regnskab for fjerde kvartal 2016.Her var toplinjen lidt bedre end ventet, men..

TDC: Norske myndigheder stiller sig i vejen for rivals opkøb

27-02-2017 15:01:50
De norske konkurrencemyndigheder overvejer at afvise en godkendelse af svenske Telias køb af det norske teleselskab Phonero, der tilbyder teleløsninger til erhv..

OPTAKT Nets Q4 28/2: Investorerne spejder efter fremtidsudsigterne

27-02-2017 13:45:34
Betalingsservicekoncernen Nets er lige nu en rimelig velkørende betalingsmaskine, og der ventes ikke de store overraskelser i tallene for fjerde kvartal, som of..

Mest læste nyheder

  • 24 timer
  • 48 timer
  • 1 uge
1
Vindmølleproducent mister en tredjedel af sin værdi på tre dage
2
Aktier/middag: Genmab og Pandora taber luft før Trump-tale
3
Vestas vinder stor amerikansk mølleordre - NY
4
USA/finanshuse: Bekymring om klarhed i Trumps tale i Kongressen
5
Novo søger om markedsføringstilladelse til Victozas arvtager i Japan

Relaterede aktiekurser

Credit Agricole 11,38 0,8% Stigning i aktiekurs
BNP Paribas Act.A 54,85 0,2% Stigning i aktiekurs
Natixis 5,14 -0,5% Fald i aktiekurs
Societe Generale 41,83 0,7% Stigning i aktiekurs

Køb- og salgsanbefalinger

  • Trend
  • Pengemaskinen

Copyright Euroinvestor A/S 2017  Disclaimer Privatlivspolitik
Aktieinformation leveres af Interactive Data.
Data er forsinket 15-20 minutter iht. de enkelte børsers regler om videredistribution.
 
28. februar 2017 10:58:09
(UTC+01:00) Brussels, Copenhagen, Madrid, Paris
Version: LiveBranchBuild_20170227.1 - EUROWEB1 - 2017-02-28 10:58:09 - 2017-02-28 10:58:09 - 1 - Website: OKAY

Når du besøger Euroinvestor.dk accepterer du, at der anvendes cookies, som vi og vores samarbejdspartnere benytter til funktionalitet, statistik og markedsføring. Læs mere om cookies på Euroinvestor.dk her

x