Markets wary of German inflation
Saturday 23 August 1997
For the second week running the experts have left their forecasts of the probability of EMU going ahead unchanged. However, currency markets yesterday reflected concern at the prospect of stronger inflation in Germany following higher preliminary figures for August from north-Rhine Westphalia and Bavaria.
Indications that German inflation rates could climb back up to 2 per cent could trigger a rise in the Bundesbank's repo rate as early as next Tuesday.
Attention will then switch to the next round of meetings between the French and German governments, says Alison Cottrell at Paine Webber.
Chancellor Helmut Kohl and Prime Minister Lionel Jospin meet in Bonn next Thursday but no decisions of substance are expected at that stage.
The European Union's finance ministers and central bankers will take their discussions forward when they meet at Mondorf in Luxembourg on 12- 14 September. The Franco-German summit will follow on 18-19 September, bringing together the heads of state for a discussion on the timing of the moves towards monetary union and any changes to budgetary policies the leading candidate countries may need to make to ensure they meet the criteria.
- 2 Tom Cruise: Reporters banned from asking actor about Scientology
- 4 Dutch King Willem-Alexander declares the end of the welfare state
- 5 Giant Minion terrorises drivers in Ireland as 40ft inflatable blocks traffic on Dublin road
Edward Heath 'raped 12 year-old boy at Mayfair flat'
Sabrina Corgatelli: US hunting tourist posts picture of herself with dead giraffe after Cecil the lion outrage
'Gene drive': Scientists sound alarm over supercharged GM organisms which could spread in the wild and cause environmental disasters
Labour leadership race: Jeremy Corbyn could be the next Prime Minister, says Ken Clarke
Tom Cruise: Reporters banned from asking actor about Scientology
Is Britain really full up? Are migrants taking our jobs? Leading academic answers the most common anti-immigration claims
Calais Migrant Crisis: Deputy Mayor of Calais labels Cameron's use of 'swarm' as 'racist' and 'ignorant'
Chris Leslie: Jeremy Corbyn's anti-austerity agenda will harm the poor, says Labour shadow Chancellor
Landlords renting properties to illegal immigrants to face up to five years in prison
While we fixate on Calais, the Home Office is quietly deporting dozens of migrants on 'ghost flights'
Calais crisis: The seven claims made about the migrants - and the reality
iJobs Money & Business
£35000 - £37000 per annum + benefits: Ashdown Group: Contracts Executive - Cit...
£20000 - £25000 per annum + OTE £45K: SThree: SThree Group have been well esta...
£21000 per annum: Recruitment Genius: This is an exciting opportunity to join ...
Up to 70k DOE: Guru Careers: We are seeking an experienced Financial Director ...