Mario Draghi faces one of the most contentious policy meetings of his European Central Bank presidency on Thursday as he prepares to ramp up monetary stimulus again despite skepticism from the euro area’s biggest economies.
Germany
EU leaders agree to delay Brexit Until 31 October – as it Happened
Europe has done it again. Despite French President’s Emmanuel Macron’s reluctance to give the UK a long Brexit extension, the EU leaders have agreed the apparently interminable process can be delayed until October 31, with a school report on Britain’s behavior in June.
‘No-deal’ Would Prevail if UK’s Brexit plan Unclear by Next Week: France
Gold Silver Reports (GSR) – Britain would only be granted an extension to the Article 50 Brexit negotiation period if its parliament passed the deal on the table or if a clear alternative plan emerged by next week’s EU summit, a French official said on Friday.
Draghi’s Long Farewell May Delay ECB Guidance move
Gold Silver Reports (GSR) – Some European Central Bank policymakers are reluctant to alter their guidance on interest rates as a move could tie the hands of the bank’s next president many months before an appointment is even made, four sources close to the matter said.
Draghi Introduces the GDP and Inflation Outlook for the Euro Area
Despite the slight downgrade, Draghi tried to strike an optimistic tone, saying during the question-and-answer portion of the press conference that drivers of economic growth are still in place.
Gold Worth $37 Billion Traded in London Each Day, New Data Shows
Gold Silver Reports (GSR) – London is a global gold trading hub but most transactions are made in over-the-counter trades between banks, brokers and dealers who have been reluctant to reveal their activity.
Five Questions for the ECB
Growing concern about the impact of trade tensions on the economic outlook, another spike in Italian borrowing costs, fraught Brexit talks and volatility in world markets make for a colorful backdrop to Thursday’s European Central Bank meeting.
Gold Slides Alongside Equities as Dollar Climbs – Gold Silver Reports
Gold fell alongside equity markets on Monday partly in response to gains in the dollar which is benefiting from a run of strong U.S. economic data reinforcing expectations of further interest rate rises.
Euro Slides After Italian Lawmaker Talks Up National Currency – Neal Bhai Reports
The euro fell to a six-week low on Tuesday after a senior lawmaker in one of Italy’s ruling parties said most of the country’s problems would be resolved if it readopted a national currency, triggering a broad market sell-off.
Gold Up But on Path for Longest Monthly Losing Streak in Two Decades – GSR
Gold inched higher but was on track for its longest monthly losing streak since January 1997 as the U.S. dollar firmed against the euro after Italy’s budget jitters threatened the European currency.