ECB Signals Steady Interest Rates as Fed Risks Loom Over Outlook 
Markets React as Tensions Rise Between White House and Federal Reserve Over Interest Rate Pressure 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Federal Reserve Faces Subpoena Delay Amid Investigation Into Chair Jerome Powell 
Bank of Japan Signals Cautious Path Toward Further Rate Hikes Amid Yen Weakness 
Data released earlier today showed that German GDP in Q4 expanded by 0.3% q/q as expected (consensus : 0.3%). Details showed that strong government and private consumption was obviously neutralised by declining external demand and the trend is expected to continue in the coming quarters.
Most economists forecast a high growth rate of 1.8% for 2016 as a whole. But this can only be realised if growth accelerates in Q1 and Q2. Despite booming domestic demand, the decline in leading indicators and the recent market turmoil argue against economic growth increasing in the coming quarters as most economists hope.
"We feel comfortable with our 2016 growth forecast of 1.3%, which is well below the consensus. The ECB will probably ease monetary policy further in March and in case of doubt do more than we had previously expected." said Commerzbank in a report.
