Europe is doing well ...

And the best Euribor.

The Euribor to 12 months has soared up to 3.65% today on the interbank market, its highest level since July 2002, in direct reaction to the strong growth data in the euro zone (2.4%), Germany (2.4%) and Spain (3.6%). The market also has noticed these expectations and economists discounted by at least two more hikes in interest rates before 2007.

The figures of GDP in the euro zone, which recorded its strongest growth since 2000 have raised the notion that the European Central Bank (ECB) will raise interest rates at least twice in the four sessions remaining before the end of this year, according to economists consulted by Bloomberg.

The Euribor, as well as being the main reference for mortgages, is an indicator that measures the sentiment and expectations of the banking market on interest rates. After closing in July 3539%, the Euribor 12 months to walk to 4% by year-end.

Therefore, it is almost secure a further rise in rates in October and another in December. Trichet will say!

Share this article:
  • E-mail this story to a friend!
  • Facebook
  • Google
  • Meneame
  • Technorati
  • del.icio.us
  • Print this article!
1 Star2 Stars3 Stars4 Stars5 Stars (Unrated)
Loading ... Loading ...

Written by Carlos Lopez on August 14, 2006 with 3 points.



3 comments

Read the comments left by other users below, or:

# 1, Juan Andres

August 14, 2006, at 13:01.

No comment because I do not know anything about inflation. Will be fine for those who have a lot of money, but for those who pay a mortgage we will be getting worse, not Asni for banks. Please be a little more realistic!

Add karmaSubtract karma +1

# 2, Jesper

August 16, 2006, at 1:30.

I do not think I knew to appreciate the irony of the author ...

Add karmaSubtract karma +1

# 3, Paul

August 16, 2006, at 1:37.

I think the same, I think the rise in rates respond more to attack an increasingly high inflation that an increase in growth in the euro zone. The price of oil rising, it may be one of the factors that most influence, and if it is true that winds around the world as plots indicate that at the end of 2006, the ECB will raise rates to 3.5%, I do not rule out that in 2007 will produce further increases, of course it's really just a personal opinion, but we have mortgages to variable interest, we will have to do many calculations over the next year. A greeting

Add karmaSubtract karma +1

Leave your comment ...

Remember: Never write on hot, think, breathe ... and do not feed the "Trolls"




You can use these tags XHTML: <a href="" title=""> <ABBR title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <'s datetime = ""> <em> <i> <q Cite=""> <strike> <strong>.