Hi

Looks to me that at long last we're perhaps seeing the start of a fall in the euro's value, at least if the ECB does indeed start to cut soon, as many think is inevitable......

Eurozone housing markets have shown fresh signs of cooling, with growth in mortgage lending dropping sharply to the lowest annual rate since the launch of the euro.

The latest European Central Bank eurozone lending data, published today, provide fresh evidence of a substantial economic slowdown under way across the 15-country bloc.
Eurozone housing markets have shown fresh signs of cooling, with growth in mortgage lending dropping sharply to the lowest annual rate since the launch of the euro.

The latest European Central Bank eurozone lending data, published Friday, provide fresh evidence of a substantial economic slowdown under way across the 15-country bloc.

Growth in M1, the narrow money supply measure regarded by some as a guide to future growth trends, has also decelerated markedly to the lowest annual rate since the introduction of the euro in January 1999.

Unlike other central banks, the ECB watches such money supply and credit data closely as inflation early-warning signals. Further weakness could see the bank altering its assessment that “monetary conditions” posed inflation dangers, said Ken Wattret at BNP Paribas, although “this prospect is some way off yet”.

Mortgage lending had slowed in Germany, France and Italy, as well as countries hit by serious house market corrections, such as Spain and Ireland, said Mr Wattret.

The ECB is widely expected to keep its main interest rate unchanged at 4.25 per cent at its next meeting on August 7.

...Then again....!

The euro rose against the dollar after European Central Bank council member Klaus Liebscher said policy makers have room to raise interest rates a second time this year even as economic growth falters, reports Bloomberg.