After closing 2017 with a new historical low, the Euribor will continue negative this year after more than 20 consecutive months with this trend. Moreover, according to a survey conducted by Bloomberg on the evolution of the Euribor, among investment banks, it is not foreseen that it will enter positive until, at least, 2019 (in which ...

Euribor will continue negative in 2018

Euribor will continue negative in 2018

After closing 2017 with a new historical low, the Euribor will continue negative this year after more than 20 consecutive months with this trend.

Moreover, according to a survey conducted by Bloomberg on the evolution of the Euribor, among investment banks, it is not foreseen that it enters positive until, at least, 2019 (in which they estimate that it will be at 0% in the fourth quarter).

This downward behavior is due to monetary policies carried out by central banks in order to revive the economy, but the question that arises now is how long will this context be maintained. In principle the forecast is that the Euribor will continue with negative values ​​during this year .

According to the ECB (European Central Bank), it will not be until 2020 when inflation approaches the 2%, the objective of all central banks, and expects that 1.7% will be reached by then.

The AHE (Spanish Mortgage Association) believes that " According to the behavior of inflation and of the economy in the Eurozone, it is to be expected that the monetary policy promoted by the ECB will reverse the downward trend in rates in the near future and with that start a smooth escalation ".

Regarding mortgages, banks in Spain have reduced the rates on mortgages at a fixed rate in order to sell more this type of loan and those who are paying a variable rate mortgage, have the peace of mind that no abrupt changes are expected in the short term.

However, the evolution of the Euribor also affected a to the profitability of bank deposits. Currently, performance remains stuck at historical lows.

RELATED NEWS

The Euribor closes 2017 with a new historical minimum

Phrases of a real estate agent, cor...
Real Estate Publications, Real Estate Phrases

The first thing we should know is that in all phases of real estate brokerage, in our relationship with owners and buyers, it must always be professional and close; but avoiding familiarity, marking the limits, will shield us against misunderstanding and misinterpretations in the future. We will meet many times with the same phrases, the ......

What does not include (or has delet...
Real Estate Publications, New Housing Plan 2018-2021

The State Plan approved in March has undergone some modifications with respect to the draft submitted last year. The State Housing Plan 2018-2021 was approved last month by the Council of Ministers. Said Plan develops nine lines of action, focused mainly on housing rental assistance and increasing the park of ......

Good listener ... Aphorism 25 by Ba...
Good listener ... Aphorism 25 by Baltasar Gracián

Good listener: "Art was an art to know how to reason: it is no longer enough, it is necessary to adevinate, and more in disappointments. It can not be understood that I was not a good listener. Ai zaoríes del coraçón and lynx of intentions. The truths that matter most to us always come half way down; receive from the attentive to all understand: in ......

The Arrows of Isabel La Católica
The Arrows of Isabel La Católica

In the previous postcard I told you about Gordio's Knot and the two roads before the problems that arise: untie and/or cut. And incidentally brought one of his influences: the reference to this old story about Alexander the Great, on the coat of arms of the Catholic Kings, specifically, the ......