Euro Zone Inflation Rises to 0.9% as Jobless Rate Dips to 12.1%

FRANKFURT — The euro zone reached another milestone in its stumbling recovery Friday when the official unemployment rate fell for the first time since 2011.

ECB supervisor promises to come clean on banks' health

(Reuters) - The euro zone's future bank supervisor on Wednesday promised a warts-and-all probe into the bloc's still fragile financial system, conceding that she and other supervisors had made mistakes in the past.

Ukraine Needs Russia Resolution Before EU Deal, Yanukovych Says

Ukraine needs to resolve issues plaguing its relationship with Russia before it can sign a free-trade agreement with the European Union, President Viktor Yanukovych said as he prepared to attend the bloc’s summit.

Euro Makes It Harder for Countries to Adjust Imbalances

Germany’s central bank has weighed in on a thorny topic in Europe: whether the euro has made it harder for countries in the currency to adjust their current account imbalances.

Euro-Adoption Benefits Becoming Fiction, Poland’s Szczurek Says

Benefits to adopting the euro, such as easier access to capital and foreign funding, are becoming “fiction,” Polish Finance Minister nominee Mateusz Szczurek said in an interview with Dziennik Gazeta Prawna.

German parties edge warily towards 'grand coalition' deal

(Reuters) - Angela Merkel's conservatives and the Social Democrats (SPD) head into a decisive week of German coalition talks on track to form a government but under fire from their own members for a series of policy compromises.

France May Slip Back Into Recession

FRANKFURT — Hopes that the euro zone could be emerging from years of torpor suffered another setback on Thursday when an indicator of economic activity in the region slipped unexpectedly and suggested that France could be sliding back into recession.

German Business Confidence Increases as Recovery on Track

German business confidence surged to the highest in more than 1 1/2 years in November, signaling that the economic recovery in Europe’s largest economy remains on track even after growth slowed in the third quarter.

Russia Pulls Biggest Bank License of Year Over Dubious Transfers

Russia’s central bank revoked the license of OAO Master-Bank, a retail lender where President Vladimir Putin’s cousin serves on the board, after accusing it of repeatedly breaching money laundering laws.

Euro-Zone Current Account Surplus Narrows in September

The euro zone's current-account surplus narrowed in September, after increasing in August, data from the European Central Bank showed Monday.

Italy at risk of breaking EU rules, France squeezes through

BRUSSELS (Reuters) - Italy's draft budget plans for 2014 are at risk of breaking European Union rules, while French draft plans barely make it, the European Commission said on Friday.

EU Soothes German Aid Qualms to Agree on ECB Bank-Test Backstops

European Union ministers overcame German unease on direct aid to lenders and agreed on rules for how public funds can be made available for banks shown to have insufficient capital in upcoming balance-sheet checks.

Euro Zone May Not Have Emerged from Recession - CEPR

An influential group of European economists that ascertains periods of expansion and recession said Thursday it remains clear whether the euro zone has emerged from recession, despite the release of figures that showed the currency area's economy grew for a second straight quarter.

Eurozone economic growth slows to 0.1%

The economy of the eurozone grew by just 0.1% in the July-to-September period, down from 0.3% growth in the previous quarter.

ECB’s Weidmann Says Low Interest Rates Come With Risks

European Central Bank Governing Council member Jens Weidmann said low interest rates come with risks that can’t be ignored, even though the current policy stance is appropriate.

EU to hold France, Germany to account in push for growth

Brussels (AFP) - The EU will this week test a new system to ensure states toe economic rules when it decides whether to challenge eurozone giants Germany and France, over their growth and deficit policies.

US, Europe resuming talks on new trade pact

BRUSSELS: The United States and the European Union, which already enjoy the world's biggest business relationship, are resuming talks on a deal to further grow two-way trade and investment.

Is the euro zone at risk of Japan style deflation?

As inflation in the euro zone languishes at its lowest level in four years, some analysts argue that the region is at risk of a Japan-style deflationary rut.

Euro Zone Resolution Plan Should Cover All Banks, ECB Says

FRANKFURT--A planned euro-zone system for handling failing lenders should cover all of the region's banks and be in place by the time the European Central Bank takes up its duties as the region's chief banking policeman, the ECB said Friday.

Germany's trade surplus expands in September, rises to 18.9 billion euros

FRANKFURT: Germany's trade surplus expanded in September as imports fell and exports grew, rising to 18.9 billion euros in September from 15.8 billion in August, data published by the federal statistics office showed Friday.

Euro zone bonds steady as markets look for ECB hints

LONDON, Nov 7 (Reuters) - Euro zone bonds were mostly steady on Thursday with investors wary of making portfolio adjustments before a European Central Bank policy update they will examine for any hints of further monetary easing ahead.

Euro-Area Services Output Expands More Than Estimated

Euro-area services output grew more than initially estimated in October, adding to signs the currency bloc’s economic recovery is gaining momentum.

Euro zone economy turns corner, but growth, inflation subdued: EU executive

(Reuters) - The euro zone economy will expand slightly more slowly next year than previously expected because of weaker private demand and investment and inflation will stay well below the central bank target over the next two years.

Euro Recovers Against Dollar Ahead of ECB Meeting

The euro recovered some of the losses posted overnight against the dollar as trading got underway in Europe Monday, shaking off the dent from dollar strength driven by better-than-expected U.S. economic data and hawkish Federal Reserve comments at the end of last week.

Italy Economy Minister: Bail-In Rules Won't Apply in Short Run

ROME--New European "bail-in" rules for troubled banks won't necessarily apply in the short term, Italian Economy Minister Fabrizio Saccomanni said Wednesday.

Euro Loses Most Since July 2012 on ECB Rate-Cut Bets

The euro slid the most in more than a year versus the dollar as weaker-than-forecast economic data for the currency region fueled speculation the European Central Bank will cut interest rates as soon as at its meeting next week.

Euro Extends Losses On ECB Rate-Cut Speculation

The euro extended its losses against major currencies in Asia on Friday amid growing speculation that the European Central Bank may cut interest rates to stimulate the euro-zone's fragile economy.

'Europe faces deflation threat'

Europe faces a threat of deflation, which it seems unlikely to be willing to fight. Core inflation in the euro zone fell sharply in October to just 0.8 per cent a year, the lowest since early 2010 and a level which sets the red deflation light flashing.