Tag Archives: Euro

The ECB can change the PEPP program | Instant News

LONDON – The European Central Bank may revamp its coronavirus-related stimulus program, Germany’s central bank governor told CNBC Wednesday, with officials wary of a recent hike in bond yields.

ECB members have spoken about how rising government bond yields in the eurozone, in late February, were “undesirable and must be resisted” – highlighting concerns that borrowing costs to European governments might rise and put the region’s economic recovery at risk.

The ECB has tried to contain borrowing costs after the pandemic, with the adoption of a government bond purchase program, known as the PEPP. But recent moves in the bond market could jeopardize those efforts and lead to more action from the Frankfurt-based institution.

“We have a way of reacting to this,” Jens Weidmann, governor of the Bundesbank, told CNBC Annette Weisbach Wednesday, of rising bond yields.

“PEPP comes with flexibility and we can use this flexibility to react to situations like that,” he added.

Since it was first announced in March 2020, the ECB Pandemic Emergency Purchase Program has been extended in duration and quantity. It is currently set to last until March 2022, for a total of 1.85 trillion euros ($ 2.23 trillion).

However, data shows that ECB debt purchases have fallen in recent weeks. Although the central bank has explained the larger redemption decline, analysts question the reasons behind the decline in net purchases.

When asked if the ECB could increase purchases again to face higher borrowing costs, Weidmann said: “Of course this is one of the elements that is on the table, to use the flexibility we have in implementing the PEPP.”

“But again, the first step is to analyze the root causes and also to see what effect we have on our ultimate goal of price stability,” he added.

The next ECB meeting is due on March 11.

President of the German Bundesbank Jens Weidmann.

Ints Kalnins | Reuters

Risks from purchasing government debt

Weidmann has traditionally been on the hawkish side of monetary policy, advocating reducing intervention from central banks. Speaking at a press conference on Wednesday, Weidmann recalled the risk of large purchases of government debt.

“But such purchases are also associated with risks, particularly because they can blur the lines between monetary and fiscal policy,” he said.

“The main problem for me here is that monetary policy must maintain a sufficient distance from government monetary financing. This includes ensuring that the incentives for healthy public finances are maintained,” he added.

In this context, ECB officials suggested they may not reach the full amount of government bond purchases. Speaking in December, the President of the ECB Christine Lagarde says “the envelope doesn’t need to be used in full.”

Future stimulus decisions will likely depend on the evolution of the pandemic as well as price dynamics. The ECB’s policy mandate is to keep inflation “close but below 2%” in the medium term. January data showed inflation rose to its highest level since the public health emergency hit, to 0.9%.

Apart from the pandemic, the ECB also looks at climate risks. The central bank is assessing how to be “effective in the fight against climate change” and this may result in changes to some of its policies. However, a recent report suggests it may disappoint climate change campaigners by buying only bonds from so-called greener assets.

German debt rules

In his home country, politicians are divided over Germany’s financial future, with some questioning whether debt-braking rules should be reformed. This policy was introduced about a decade ago and restricts the German government from taking on new debt.

However, some politicians argue that in order to boost the post-pandemic economic recovery, Berlin needs more flexibility to spend more.

At a press conference, Weidmann said: “After the pandemic, however, it will be a matter of returning public finances to a firm footing, as Germany will face further fiscal challenges in the long term.”

He cited pensions, health care, climate protection and education as important upcoming expenses for the German government.

However, Weidmann does not think that fiscal consolidation should occur overnight, but rather a process that spreads “precisely to the rest of the economic recovery.”

However, he asked all European countries, not only Germany, to restore their public finances.

“But all member states of the monetary union, not only Germany, need to manage their budgets after the crisis. In the euro area, especially – in some cases – very high debt ratios that have to be lowered reliably,” he said.


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England will be the ‘safest place’ to host all of Euro 2020 and plans are supported despite opposition from the FA and UEFA | Instant News

The United Kingdom, which has hosted every European Championship game this summer, is the most plausible solution, according to former Leeds and Manchester City defender Danny Mills.

UEFA still planning regarding staging of tournaments in 12 countries despite broad restrictions on outreach in Europe due to the continued spread of COVID-19.

Getty Images – Getty

Euro 2020 was due to take place last summer but was postponed due to the pandemic

European football’s governing body has rejected suggestions that anything could happen in England, as has the English Football Association prime minister Boris Johnson and England boss Gareth Southgate insisted that the country would be well positioned to intervene.

London’s Wembley Stadium and Glasgow’s Hampden Park have already hosted 11 of 51 matches, including the semifinals and finals, while England offer many other cities and stadiums suitable for major tournament matches.

UEFA has sold the full allocation of seats for each match and they have not announced plans for ticket holders, although it is almost inconceivable that the Euro could take place in full stadiums across the continent.

The tournament kicks off on 11 June and, in England, fans are expected to return to stadiums in limited capacities on 17 May under the current proposal, with all restrictions to be lifted by 21 June.

Wembley will host all of England's group matches

AFP – Getty

Wembley will host all of England’s group matches

The UK vaccine launch is significantly further away than most of Europe, which is why many consider Britain hosting the Euro to be the best solution.

More than 20 million people in the UK have received their first injection of the coronavirus vaccine – and by June it is expected that most adults will be vaccinated, including all those considered most vulnerable.

Mills said: “Would it be wise to travel all over Europe at that stage, wherever it is?

“You have to look at the bigger picture, rather than whether we want to host – is that all the best thing that we keep it?

“We already have two semifinals and a final, the group matches are here and in Scotland.

Health secretary Matt Hancock broke the latest news on the vaccine launch earlier this week

Getty – Pool

Health secretary Matt Hancock broke the latest news on the vaccine launch earlier this week

“Effectively, half of them are already here! The number of vaccines in the country by then will be more than half of the population.

So this will be the safest place to have them.

While Mills warned the thousands of fans arriving in England from across Europe in three months, the former full-back insisted players would be safer in one place than traveling between 12.

And with a high proportion of the Premier League or European stars, it is likely that England have a greater percentage of players, who are already living here, compared to other countries.

He added: “You can control it, keeping all the players on one island is much better than having them go around everywhere.

Unfortunately, no foreign fans should be allowed in.


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Women’s Football – News – Grandstand finished looks for EURO 2022 candidates | Instant News

  • The final matches of Groups A, B, D, E and H this week ahead of the upcoming play-offs
  • Austria, Italy and Switzerland can still qualify directly for EURO 2022
  • Finland, Poland, Portugal and Spain hope to qualify as group winners

Who can still qualify for the play-offs, and who can directly qualify for the UEFA Women’s EURO 2022? These key questions will be resolved between February 18 and 24, when the final matches in Groups A, B, D, E and H are contested. Austria and Switzerland, who have played all their games, can still advance directly to EURO 2022 depending on what happens in Group E and the match between Italy and Israel.

Big match

Spain – Poland

February 23 – Las Rozas Soccer City – Madrid

This high-stakes battle will finally happen next week after being postponed last year due to COVID-19. In this hard-fought group, both Spain and Poland are eyeing the top spot, while the Czech Republic, having completed their program, can only secure a play-off spot. Possibly profitable The red one, who, with two games remaining, are ahead of the Czechs (both on 16 points). Poland currently occupies third place with 14 points, so a win for Jorge Vilda’s side against Azerbaijan on February 18 will be enough to solidify Spain’s qualifiers. Poland, meanwhile, will have to win in Madrid to at least secure second place, otherwise it will fall to the Czechs.

Finland – Portugal

February 19 – Helsinki Football Stadium – Helsinki

Whoever wins in this meeting can start making plans for EURO next year. However, if the pair draw (Finland and Portugal both have 16 points) and go on to win their final games against Scotland and Cyprus respectively, both will be guaranteed a place in England – a total of 20 points ensuring the team finish second. will take one of the top three runners-up qualifying spots. If it is a draw in this match and a loss in the last game, the runners-up will enter into the play-offs, which will also happen if, after the defeat in Friday’s fight, the losing team wins their last match.

Finland coach Anna Signeul feels his team has a slight advantage, as the Portuguese coach will not get used to his country’s winter. Star striker Linda Sallstrom echoed the sentiment of his coach, said. “I don’t think many Portuguese players experience or regularly play in cold weather like this. We are familiar with winter in Finland and know what it is like to play and train outdoors, ”added Sallstrom, who also highlighted Portugal’s strengths. “They have very talented players. Claudia Neto always gives us a headache and has scored lots of goals against us. We have to be very careful every time he enters the area with the ball and always be alert, given his firepower. “

Italy – Israel

24 February – Artemio Franchi Stadium – Florence

Only a win by six goals or more will guarantee Milena Bertolini’s team a place in EURO 2022 as one of the best runners-up. If Italy don’t win, or win by fewer goals, they will have to settle for the play-offs. Switzerland and Austria will also be monitoring these matches closely. To claim one of the best three runner-up spots, Switzerland needs Italy not to beat Israel in Group B, and a team finishing second in Group E to finish on a lower record than them. Austria, for their part, can celebrate if Finland beat Portugal, as Irene Fuhrmann’s side are almost certain, though not mathematically, will certainly be one of the top three runners-up spots. Austria will also be sure of their place in England if Italy fail to win by six goals against Israel.

Other international equipment

  • Germany, the Netherlands and Belgium will face off in a top-quality three-team tournament. On February 21, Germany and Belgium will battle each other in Aachen, while on February 24, Martina Voss-Tecklenburg’s German side will face the Netherlands, the reigning European champions and world runners-up, in Venlo. Previously, Belgium and the Netherlands will meet in Leuven, Belgium on February 18.
  • The SheBelieves Cup 2021, which the world champions US, Argentina, Brazil and Canada will compete for, will run from February 18-24.
  • The Visit Malta 2021 Women’s Trophy will feature Austria, Sweden, Malta and Slovakia and run from February 15-23.
  • Tournoi de France 2021, on the other hand, has been canceled

The SheBelieves setup key for the Tokyo candidate

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The SheBelieves setup key for the Tokyo candidate


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Mario Draghi presents Italy’s new cabinet after the EU funding uprising | Instant News

New Italian Prime Minister Mario Draghi.

Barcroft Media | Barcroft Media | Getty Images

LONDON – New Italian Prime Minister Mario Draghi already changed the political scene in Rome and caused a boom in the stock market.

Amid the new political turmoil, the first European Central Bank the president is called to be the new leader of Italy and save its turbulent economy. His arrival was described as “better than expected” after garnering widespread political support and stemming the threat of populist forces.

Draghi, who was sworn in on Saturday, presented his cabinet at the weekend – a group composed mostly of politicians from various parties and some technocrats in the main ministries as well.

“This is the best possible outcome, and better than I expected, because it provides a degree of political stability and accountability,” said Erik Nielsen, group chief economist at UniCredit, in a research note on Sunday.

Draghi has managed to receive support from most of the major political powers in Italy, following concerns that a purely technocratic team will have a short lifespan. The next general election in Italy is scheduled for early 2023.

The return of Mario Draghi, now Prime Minister of Italy, has changed the political landscape dramatically.

By ensuring broad political support and a diverse team, Draghi has enhanced Italy’s prospects. Analysts are becoming more bullish Italian government bonds, citing “expectations of a more efficient use of NGEU (Next Generation EU) funds, structural reforms and a better outlook in terms of vaccination,” according to a UniCredit note.

At the same time, Italy’s main stock index has jumped more than 7% since the start of the month.

Barclays analysts believe economic growth will increase in the second half of this year as well. “The return of Mario Draghi, who is now Prime Minister of Italy, has changed the political landscape dramatically,” analysts at Barclays also said in a note on Monday.

They explain that the winner of the month-long political crisis appears to be the anti-immigration party Lega. Previous more centric PDs were against joining Lega and this new union has created tensions within the party. Meanwhile, another major party, the Five Star Movement, saw internal divisions when it approved Draghi’s premiere last week.

Inactive populism

This could change the picture in Italian polls. Relief is still the most popular political party with around 24% public support. However, the Five Star Movement and PD – which were the previous administrations, could experience setbacks. PD, who enjoyed 20% public support in January, lost one percentage point in a The poll was released on 11 February.

At the same time, Draghi’s arrival has dampened the rhetoric of populism, at least for now.

“Today what we can say is populism is weaker in Italy both because of Draghi’s intervention and the intervention of the pandemic and European integration,” Lorenzo Castellani, historian at private university LUISS Guido Carli, told CNBC last week.

Italy had two main populist powers after the 2018 elections – Lega and the Five Star Movement. But they both have grown to have less anti-EU attitudes now, Erik Jones, a professor at Johns Hopkins University, told CNBC Monday.

“The Five Star Movement got its pivot when it supported Ursula von der Leyen (European Commission president) in June 2019; Relief made the pivot when it decided to support Draghi in publicly forming a pro-European national unity government last week,” he added.


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European bottler Coca-Cola sweetens a $ 7.70 billion offer for Coca-Cola Amatil | Instant News

FILE PHOTOS: Coca-Cola bottle pictured during presentation in Paris, France, 19 January 2016. REUTERS / Benoit Tessier

(Reuters) – Coca-Cola Amatil said on Monday that European bottler Coca-Cola Co raised its takeover offer by about 6% to A $ 9.93 billion ($ 7.70 billion) as global trade conditions improved.

Coca-Cola European Partners (CCEP) PLC is now offering A $ 13.5 per share, up from A $ 12.75 per share offered in October. The Australian bottler said it supported a new latest offer, which would be Australia’s biggest deal this year.

“The economic outlook for Australia and New Zealand has improved since the announcement of the original CCEP proposal and the recent trade validates our strategy and shows a strong recovery,” said Amatil Chair Ilana Atlas.

In January, Amatil said demand in Australia and New Zealand during the fourth quarter was strong, indicating Australia’s success in overcoming the pandemic and improving economic prospects.

Coca-Cola Co owns 31% Australian companies and 19% CCEP registered in London.

($ 1 = 1.2890 Australian dollars)

Reporting by Nikhil Kurian Nainan in Bengaluru; Edited by Daniel Wallis and Diane Craft


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