subject: Eurozone Still Weak: Mario Draghi [print this page] Mario Draghi has given a warning that the condition of the eurozone is still quite weak and it is expected that more harm is about to come after the rates of interests were brought to a very low level which was a record in itself by the European Central Bank that is ECB.
The president of ECB said in a press conference that the growth of economy us still very weak with the levels uncertainty growing more on the level confidence among the countries of the region. He has to add that there is a whole lot of risk as far as the surrounding outlook of the economy of the whole eurozone is concerned where there are chances that it is only going to go downwards only.
If any kind of a recovery will be coming in the eurozone then it is going to be quite slow as well as gradual, as there is a whole lot stress of in the market of sovereign debt, primarily in the case of Spain as well as Spain which may became a breakage to the ongoing momentum. The yield on the 10 years old bonds of Italy had gone on a rise with the figure of 6 per cent above the level of danger on the afternoon of Thursday. And on the other hand, those of Spain went up by 6.8 per cent. The IBEX stock index of Spain had come down by 3.1 per cent at around 3 pm ( as per the UK time) and on the other hand, the MIB of Italy had come down by 3 per cent.
Draghi's gave his verdict after the ECB had cut down the costs of borrowing of the eurozone almost by a quarter of a percentage point bringing it to a new record low level of 0.75 per cent. The rate of deposit has also come down because of the cut from 0.25 per cent to 0 per cent.Apply with small loans for bad credit @ http://www.smallloansforbadcredits.co.uk it is best solutions of daily cash expenses.
The president also commented on the Bank of England., as far as the banks has handled the issue of Barclays and its Libor scandal is concerned. Because of this the lenders had to face a fine from the side of regulators after the fact that they had done a manipulation of quite an important rate of lending. Draghi had to say that quite a lot has to be done in order to put things on the right track after what has happened.
