|Jan, 21 09:30||
|BoE Credit Conditions Survey
BoE Credit Conditions Survey
As part of its mission to maintain monetary stability and financial stability, the Bank needs to understand trends and developments in credit conditions. This survey for bank and non-bank lenders is an input to this work. Lenders are asked about the past three months and the coming three months. The survey covers secured and unsecured lending to households and small businesses; and lending to non-financial corporations, and to non-bank financial firms.
|Jan, 21 09:30||
|10-y Bond Auction
10-y Bond Auction
10-y Bond Auction is a leading market demand and profitability indicator. Profit falls compared to the previous auctions generally have a favourable influence on the currency.
|Jan, 21 11:00||
|CBI industrial order books balance
CBI industrial order books balance
This review reflects businessmen sentiment concerning the position of the industrial sector of the economy.
|Jan, 21 12:45||
|ECB Interest Rate Announcement
ECB Interest Rate Announcement
The European Central Bank's decision to increase, decrease, or maintain interest rates. Controlling interest rates is the key mechanism of monetary policy, and the ECB influences interest rates by first changing the "overnight rate" through the purchase or sale of government bonds. Lowering rates can spur economic growth but may incite inflationary pressures. On the other hand, increasing rates slow inflation but can stymie growth.
The European Central Bank makes a concerted effort to be transparent in its policy. Frequent speeches by Bank Governors make policy goals clear and the Bank adheres to a stated inflation target of 2% changing rates accordingly to meet that goal. Because of this, rate decisions are generally well anticipated, but very important nonetheless.
The ECB's rate decision has an enormous influence on financial markets. Because the ECB interest rate is essentially the return investors receive while holding Euros, changes in rates affect the exchange rate of the Euro.
Because rate changes are usually well anticipated, the actual decision does not tend to impact the market. But if the ECB changes rates they will hold a press conference where some rationale for the decision is offered. Market participants pay close attention to the press conference, hoping to clue in on the likelihood of further rate changes. Often, the language used in the press conference holds important signals to how ECB feels about inflation and the economy. The ECB President's language will be "hawkish" if he is pessimistic about the inflation outlook for the economy. In that case, the market sees a higher chance of future rate hike. Conversely, if the ECB President believes inflation is in check, his remarks will be "dovish," and the market perceives a future rate increase to be unlikely.
|Jan, 21 12:45||
|Deposit Facility Rate
Deposit Facility Rate
Financial institutions can place surplus funds in the European Central Bank-administered Marginal Lending Facility to be loaned to institutions requiring overnight loans to meet temporary cash shortages. The Deposit Rate is the interest paid to depositors when they place funds with their respective national Central Bank within the Eurosystem.