Euro zone sentiment worsens in September, inflation expectations fall

(Reuters) - Euro zone economic sentiment deteriorated in September to levels last seen in late 2013 and inflation expectations among households and producers alike continued to fall.

Debt forgiveness could ease eurozone woes

The eurozone debt crisis never went away. It merely acquired a misleading veneer of resolution thanks to grand promises, political chest-thumping and frazzled financial markets that were desperate to believe in happily ever after.

ECB Willing to Weigh More Stimulus If Needed, Coene Says

The European Central Bank would be prepared to enact more stimulus measures if necessary to increase liquidity in the euro area, ECB Governing Council member Luc Coene said.

EU markets watchdog tells banks to investigate stress test rumors

(Reuters) - The European Union's markets watchdog has warned banks they must investigate any rumors about how they have fared in the European Central Bank's banking sector health check, sources familiar with the matter told Reuters.

European Stocks Decline With FTSE 100 After BOE’s Carney

European stocks fell to a four-week low, erasing earlier gains, as U.K. shares dropped after Bank of England Governor Mark Carney said the time to increase interest rates is getting closer.

ECB's plans to revive bank lending leave economists unconvinced: Reuters poll

(Reuters) - Bank lending to private euro zone businesses needs to grow at a 3 percent annual rate on a sustained basis in order to stir inflation, according a Reuters poll of economists who say that is not likely to happen.

EU financial watchdogs warn of funding squeeze

(Reuters) - Three European Union financial watchdogs warned that a funding freeze will hamper their efforts to help Europe avoid another financial crisis.

Draghi Says ECB Actively Managing Balance Sheet

The European Central Bank will actively manage its balance sheet and is willing to implement more stimulus if required to stave off the threat of deflation in the euro area, ECB President Mario Draghi said.

G20 worried about the 'stumbling block' of Europe's slow growth

The G20 group of leading nations have said they are tantalisingly close to adding an extra $2tn (£1.2tn) to the global economy and creating millions of new jobs, but Europe's extended stagnation remains a major stumbling block.

Banks repay loans to ECB after fresh offer of cheaper credit

FRANKFURT, Sept 19 (Reuters) - European Central Bank plans to bolster lending to business were dealt another setback on Friday after banks decided to repay billions of euros of cheap ECB credit, sapping money available to lend to business.

France dodges rating downgrade - for now

(Reuters) - Moody's spared France a fresh downgrade of its debt rating on Friday even though Paris has overrun its deficit targets, warning the outlook was negative in light of difficulties pushing through reforms.

ECB's Praet warns against reading too much into low take-up of TLTROs

(Reuters) - European Central Bank Executive Board member Peter Praet warned on Thursday against reading too much into the low take-up of the first round of four-year ECB loans, stressing that they are part of a broader policy package.

Euro Steady As Tension In Ukraine Worsens

The euro remained below $1.30 on Tuesday despite encouraging trade data out on Monday. The common currency traded at $1.2961 at 10:00 GMT with the Fed’s upcoming meeting and the crisis in Ukraine continuing to weigh.

U.K. Workers Get No Relief as Wage Squeeze to Extend Into 2015

U.K. households will have to wait until the second quarter of next year before the squeeze on their living standards starts to properly ease, according to a Bloomberg survey of economists.

German business lobby group calls EU sanctions a mistake

(Reuters) - The European Union's new economic sanctions against Russia are a "mistake" because they were imposed just as a week-old ceasefire was bringing calm to the embattled east of Ukraine, the leader of a German business lobby group was quoted saying on Sunday.

Euro zone ministers upset by broken French budget promises

MILAN, Sept 12 (Reuters) - France faced harsh criticism on Friday for failing to meet a deadline to put its finances in order, as frustrated euro zone ministers struggled to keep alive their post-crisis strategy for the bloc's stagnating economy.

S&P raises Greece by one notch in latest ratings boost

(Reuters) - Standard & Poor's raised Greece's credit rating by one notch on Friday, the latest ratings boost for the debt-laden country, and said it expected Athens to continue reporting budget surpluses before interest payments in the next few years.

ECB Seeks to Ease Euro-Area Capital Barriers for Lending

Europe’s efforts to boost lending and reduce financial fragmentation won’t succeed unless banks can move money freely between countries, European Central Bank policy makers said this week.

Housing market reaches plateau, say surveyors

The housing market has reached a "plateau", according to a survey of chartered surveyors across the UK. The Royal Institution of Chartered Surveyors (RICS) said the number of house sales agreed in August fell for the first time in two years.

Italy's economic growth will be 'around zero', says PM Renzi

Italy's Prime Minister has said that Europe's third largest economy will see growth of only "around zero" this year.

No new debt for Germany in 2015, first time since 1969

(Reuters) - Finance Minister Wolfgang Schaeuble said Germany would not take on new debt next year for the first time since 1969, underlining the robustness of the country's finances as European partners urge it to do more to boost euro zone growth.

UK manufacturers wary about big increase in investment: survey

(Reuters) - British manufacturers are cautious about increasing levels of capital spending, a trade group said on Monday, raising questions as to whether a recent pick-up in business investment is sustainable in the long term.

Merkel ally lashes out at Draghi over ECB plans to buy 'junk' paper

(Reuters) - An ally of Chancellor Angela Merkel criticized the European Central Bank and its president Mario Draghi in a rare public attack, telling Bild newspaper the ECB's new schemes to bolster lending and buy asset-backed securities would scare Germans.

Pound Weakens Most in a Year as Scotland Vote Adds Uncertainty

The pound had its biggest weekly drop versus the dollar since July 2013 as signs that Scotland’s independence vote will be more closely contested than previously indicated damped demand for the U.K. currency.

Falling investment, inventories, stall euro zone recovery in Q2

(Reuters) - Falling investment and a drop in inventories kept euro zone gross domestic product flat in the second quarter against the previous three months despite growing household consumption and a positive contribution from trade, data showed on Friday.

ECB surprises with rate cut amid recovery fears

FRANKFURT, Germany (AP) — The European Central Bank has cut its interest rates and announced a new stimulus program that involves buying financial assets, a bid to salvage a weak economic recovery.

Why peripheral euro zone debt is worrying investors again

Companies in the peripheral euro zone countries which caused the near-disaster of the euro zone debt crisis are borrowing big again.

Euro hits fresh one-year low, hamstrung by Ukraine turmoil

SYDNEY/SINGAPORE, Sept 1 (Reuters) - The euro hit a fresh one-year low on Monday, as heightened worries about the crisis in Ukraine kept the currency on the defensive ahead of a European Central Bank policy meeting later this week.

Germany posts budget surplus as pressure rises to boost growth

(Reuters) - Germany posted a budget surplus of 16.1 billion euros in the first half of 2014, highlighting the strength of the country's finances at a time when Berlin faces pressure to loosen the fiscal reins and spend more to boost flagging growth in Europe.

EU summit on economy in Italy October 6

(PARIS) - French President Francois Hollande announced on Saturday that EU leaders would hold a summit in Italy in early October aimed at boosting growth and jobs in the bloc.