Alice Hudson

The small market for credit derivatives, credit default swaps (CDS) is opaque and concentrated, two patterns conducive to abusive behaviors. According to a new research from Rouen Business School, CDSs have served as a “coordinating device of speculation” against sovereign European States during the crisis. To address this issue, as of November 1, investors wanting to […]

Gloomy euro news was in no short supply this morning, backed up by official data. Spain looked to be on the brink of a Moody’s downgrade, while Greek state broadcaster Net TV claimed the country’s economy could contract by 3.8 per cent next year –  a much more desperate picture than the “flatline” the European Commission had previously […]

European markets fell sharply yesterday –  the FTSE 100 losing £23.2bn –  as fears rose about riot-hit Spain, and the unrest in other European nations including Greece and Portugal was widely reported. Austerity measures demanded by the European Union and the International Monetary Fund to resolve the debt crisis  are unsurprisingly unpopular amongst the already-stretched people...

Comments by Federal Bank official Charles Plosser late yesterday saw the QE3-inspired risk rally screech to a halt.Meanwhile, Greece was back in the spotlight this morning, massive strikes causing chaos to the country’s transport and health systems. Plosser said QE3 was unlikely to boost economic growth, his opinion causing markets to slump overnight. Meawhile, the ECB’s Joerg...

Spanish bond auctions this morning went better than expected, stemming the immediate rise of bond yields. The Spanish government was thus easily able to delay its decision on whether to seek a full bail-out for yet another day. Markets were down this morning, however, due to fears about global growth, sparked by news the Chinese economy had contracted […]

Late surprise news that the Bank of Japan was to follow the ECB and Federal Reserve in providing more stimulus measures for its economy saw US markets rise yesterday, and a postivve effect was also seen in European markets this morning. Japan’s central bank announced it is to both extend and increase its bond purchasing programme. Today however, investor focus is shifting –  once...

European markets were today posting modest losses, as the rally sparked by news of renewed central bank stimulus measures ground to a halt meanwhile Spain’s resistance to request a full bail-out prompted worries about a spike in bond yields. In droves, traders were today moving capital to safe haven assests, such as German bonds. The […]

The Japanese government yesterday lowered its assessment on the domestic economy – hard evidence it is the latest big economy to feel the fall out from the European debt crisis. Official figures showed China’s slow down was also shown to be sharper than expected. Meanwhile, European Central Bank (ECB) member Jorg Asmussen made a speech last night in which he […]

Federal Reserve meeting minutes released yesterday confirmed the US government would step in to provide more stimulus measures if required, bouying markets during the afternoon. PMI services from the euro zone disappointed however,  with the ongoing European debt crisis to blame.   Meanwhile, the future of troubled Greece – seeking an extension of its bailout conditions – was...

Finland’s foreign minister Erkki Tuomioja has caused waves by suggesting the nordic nation is preparing for a eurozone breakup. His comments forced Finland’s government to release a statement asserting Tuomioja’s views were his own and that Finland was “100 %” in support of the single currency. Yesterday, Angela Merkel voiced support for ECB president Mario...