-
Easing euro zone credit crunch fails to lift pressure on ECB
A fall in lending to euro zone households and companies slowed further in July and money supply grew, but not enough to douse expectations that the European Central Bank will ultimately provide further stimulus. In an unprecedented move, the ECB started charging banks in June to keep their deposits overnight, a step it hopes will encourage banks to lend. A fresh injection of ultra-long loans later this year should make lending easier still. But speculation has grown since ECB President Mario Draghi struck a dovish tone at the Jackson Hole central bankers' meeting last week that the bank could go further and move ... (full story)