Jan. 27: news from all over the world
- Moody’s affirmed Frances’ Aa1 rating, but maintained negative outlook. The agency sees the nation’s debt-to-GDP ratio rising this year and would likely downgrade if its confidence in the likelihood of implementation of proposed reforms declined. Slovenia’s Ba1 rating outlook changed from negative to stable.
- IMF head Christine Lagarde warned about deflation risk in the euro area.
- ECB President Draghi reaffirmed that rates to remain low or lower for an extended period of time and the central bank is ready to act.
- OECD: European banks have a combined capital shortfall of about 84 billion euro ($115 billion).
- German government considers raising 2014 growth forecast from 1.7% to 1.8%.
- BOE Governor Carney said that he’s not signaling an exit of UK monetary policy here. Exceptional policy stimulus remains very relevant for the British economy. When the central bank raises interest rates it will do so gradually.
- BOJ Governor Kuroda: Japanese inflation should hit the Bank of Japan’s 2% target within 2 years. Kuroda was optimistic about the economic growth.