European Central Bank (ECB) President Mario Draghi said that there are signs of stabilization in both financial markets and overall economic activity, although it is still at low levels. Draghi emphasises that decisive measures are required to increase all round investor confidence.
The IFO and business sentiment in Germany showed a positive figure yesterday for March. But more interestingly consumer confidence for Italy also showed a positive figure.
The renewed confidence helped stock market’s rally and bought about risk appetite as we saw the Dollar being sold off against both the Euro and the UK Pound.
Chancellor Angela Merkel gave her thoughts on Spain and Portugal with the spiralling crisis there in particular the housing crisis. Finance ministers from the 17 nations will meet in Copenhagen on March 30th to perceive the overall conclusion. On a positive note she backed David Cameron’s decision on austerity measures as she also believes that no country should live beyond its means. It would be good to see the outcome and whether this will favour the euro or create further woes.
Home prices in 20 United State cities fell at a slower pace at 3.8 percent from January 2011, the smallest decline in three months, after decreasing 4 percent in the previous 12 months which shows another sign of stabilization in the residential real estate market.
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