Business

GENEVA — The World Trade Organisation (WTO) called on the Group of 20 (G-20) leading economies on Thursday to begin removing trade barriers thrown up since the 2008 global economic crisis to allow international trade to resume the strong growth it saw at the start of the century. In its latest report on the problem, the 160-nation body indicated that of the 1,244 trade-restrictive measures G-20 members had introduced over the past six years, 962 remained in force despite a pickup in the world economy. In addition, the report said, G-20 countries were still introducing new measures limiting trade — at the rate of 18 a month over the past year — pushing the total in force up by 12 per cent since November 2013. Restrictive trade measures can include special tariffs and quotas on goods, but also administrative actions — dubbed behind-the-border measures in trade jargon — like domestic regulations or subsidies to national producers. Export restrictions can also be used, but the WTO said far fewer of those had been employed by the G-20 since 2008.

PARIS — The Organisation for Economic Cooperation and Development (OECD) called Thursday on the world's leading countries to step up measures to support flagging global growth, in particular urging the European Central Bank (ECB) to overcome its reluctance and undertake quantitative easing.

It made the appeal in an early update to its global economic forecasts before Group of 20 (G-20) leaders hold a summit next week in Australia.

Noting that risks to the global economy remain high and market volatility may rise, OECD chief Angel Gurria warned of an increasing risk of stagnation in the eurozone that would further darken already gloomy global economic skies.

"Countries must employ all monetary, fiscal and structural reform policies at their disposal to address these risks and support growth," he stressed.

The OECD, which provides economic analysis and advice to its industrialised country members, lowered its forecast for global growth this year by a tenth of a percentage point to 3.3 per cent. 

For 2015, it cut the forecast by two tenths of a point to 3.7 per cent growth.

It left in place its forecast for the 18-nation eurozone to grow by 0.8 per cent this year and by 1.1 per cent in 2015.

Eurozone a 'major risk' 

The OECD's chief economist Catherine Mann warned that "overall, the euro area is grinding to a standstill and poses a major risk to world growth..." 

The organisation urged the ECB to expand its monetary stimulus programme given the very weak economy and the risk of deflation.

"This should include a commitment to sizeable asset purchases ['quantitative easing'] until inflation is back on track," it said, adding that the purchases could include government bonds, which the ECB has so far shunned due to political sensitivities in Europe about the central bank underwriting government spending.

The purchase of government bonds was the main element of the recently ended quantitative easing programme by the US Federal Reserve, and Japan last week stepped up its asset purchases in order to support growth. 

The ECB left its interest rates at record lows at its monetary policy meeting Thursday, and while ECB chief Mario Draghi did not announce new asset purchases, he said the bank was preparing to undertake additional measures if necessary.

The ECB has so far focused its new monetary stimulus, designed to spur lending and investment by buying financial assets, on packages of loans known as asset-backed securities (ABS) and corporate bonds.

The ECB has said it could inject some 1 trillion euros ($1.25 trillion) into the economy in this manner, as a means to stem a slide in inflation to .04 per cent that is flirting with a dangerous deflation leading to economic contraction and job losses.

With a debate ranging in Europe over whether to let up on austerity measures, the OECD said "all room to engage fiscal policy must be exploited".

G-20 leaders are expected to adopt an economic action plan at the summit in Brisbane on November 15 and 16 with each nation making reform pledges. 

"The potential pay-off from the structural reform agenda under consideration is tremendous," said Mann, saying the measures could add 2 per cent, or $1.6 trillion, to global economic output by 2018. 

China slows, Russia trips 

The OECD bumped up its forecast for US growth this year by a tenth of a point to 2.2 per cent, while leaving its 2015 forecast unchanged at 3.1 per cent.

Japan's growth forecasts were left unchanged at 0.9 per cent this year and 1.1 per cent in 2015.

Among emerging markets, which have been the source of most growth in the world economy in recent years, the OECD said China was set to slow as the government moved forward with efforts to achieve a more balanced and sustainable expansion.

It pared back its forecast for Chinese growth this year by a tenth of a point to 7.3 per cent, and by two tenths to 7.1 per cent in 2015.

The OECD dropped by three tenths of a point its forecast for the Indian economy this year to a 5.4 per cent expansion, but increased the 2015 outlook by five tenths to a 6.4 per cent growth.

It held Brazil's forecast for 2014 growth at 0.3 per cent, but raised the 2015 outlook by a tenth of a point to 1.5 per cent.

The OECD sees Russia managing 0.7 per cent growth this year, up from its previous forecast of 0.5 per cent, although this is still a major slowdown from the 1.7 per cent expansion the country recorded last year.

However, the OECD expects Western sanctions on Russia over its role in the Ukraine crisis to bite next year, dropping its forecast to zero growth from the previous 1.8 per cent.

"Russia is in go-slow mode, with the economy's course strewn with obstacles, including oil prices," said Mann.

LONDON/VANCOUVER — Struggling gold producers plan increasingly drastic measures such as scrapping dividends, cutting jobs, halting projects and shutting mines to survive the latest price plunge, but not all of them will make it.

Gold tumbled to a more than four-year low of $1,137.40 an ounce this week, rekindling memories of last year's 28 per cent drop to $1,196. That fall put an abrupt end to years of over-spending on expansion projects and forced producers to cut costs.

Gold prices recovered early in 2014, but the slide in the past three months to new lows will force companies to step up their efforts to cope.

According to Citi analysts, about three quarters of gold mining companies burn cash at spot prices just below $1,200 on an all-in cost basis, which includes head office, interest, permitting and exploration costs.

Buenaventura, Medusa and Iamgold  are among the highest-cost producers with all-in costs well above $1,300, a Citi note to investors indicated.

"Everyone has started now to appreciate that the music has stopped and there are only so many chairs," Mark Bristow, chief executive of gold miner Randgold, said in an interview. He expressed frustration that not much high-cost production had been shut down so far.

"It is questionable whether, without injection of liquidity, the leading companies in our industry can manage their businesses going forward. Everyone is trying to survive in hope that the gold price will go up," he added.

Unlike prices for most other commodities, the gold price does not hinge mostly on demand and supply fundamentals.

Instead, it is tied more to global economic factors such as interest rates and inflation and is more subject to investor sentiment, which make its moves more difficult to predict.

And gold equities are historically even more volatile than the metal. After outperforming the bullion price for most of this year, gold mining shares have given up all gains to sink much deeper than gold itself.

"It is difficult days for the sector... if lower prices persist for a lot longer, then a lot of the operations will have to be suspended," said Angelos Damaskos, a portfolio manager at Junior Gold fund. 

Cut to the bone

To make ends meet at a lower price, producers have already cut exploration and corporate costs in the past year, and many have relied on high-grading, which means focussing on areas with higher quality metal to reduce unit costs.

A fall in oil prices and a weakening of currencies such as the South African rand against the dollar also have offered some breathing space, with companies' costs priced in rand and sales in dollars.

But reforms now must become more radical.

"I don't really see on the operating side, the unit cost side, much more room for meaningful impact," said Phil Russo, mining equity analyst at Raymond James. "The ability to meaningfully change all-in costs will have to come from the capital side. Whether they might under-capitalise operations or defer capital is really the theme of the day. Dividends will surely be under review," he added.

Kinross Gold has scrapped its dividend in the past year, and this week it said weak prices may derail the planned expansion of its Tasiast mine in Mauritania.

AngloGold Ashanti is looking to sell assets to shore up its finances after shareholders forced it to abort a plan to spin off part of its mines and raise capital in September.

Barrick Gold is also looking to divest assets to help repay its high level of debt.

South Africa's Harmony Gold suggested on Wednesday it might have to cut jobs as it contends with depressed prices.

"We are seeing this clear separation between the gold companies. Those that use a conservative price assumption like Randgold, that are low-cost and have little debt or very profitable operations, can service that debt even at these prices," said Neil Gregson, portfolio manager at JP Morgan Asset Management.

"Others that are either high cost or that took on a lot of debt in the bull market like Barrick will now have to sell assets," he  added.

The cure or the poison?

Things could get even uglier.

If gold prices persist around $1,100, companies could see their credit lines withdrawn or reduced. Those with heavy debt may be forced to hedge revenue or raise distressed equity, and companies such as AuRico, Detour, Iamgold, Lake Shore and Pan American may be forced to scrap dividends, according to RBC.

At $1,000, many could be forced to accept discounted takeover offers or other dilutive measures for equity holders, according to the bank.

"There may be some consolidation in the space — some guys getting together and trying to pool assets to turn around and run a more efficient business model," said Joseph Fazzini, an analyst at Dundee Securities in Toronto. "I think that is the best way that these guys can make sense of the industry at this point in time."

But the medicine for a quick recovery could kill the patient in the long run. Emergency cuts in both exploration and operating capital could result in a steep output decline later on and threaten the existence of a mining firm.

"The bigger problem is that if they cannot afford to reinvest and explore, there will be a sharp drop in production a year or two from now," said Meryl Pick, an equity analyst at South African fund Old Mutual.

"If current prices persist we may see more shafts going onto care and maintenance," he added.

BRUSSELS — The European Union’s (EU) auditor called on the bloc’s new executive on Wednesday to seek better value for taxpayers’ money as its report on the 2013 accounts estimated that up to 9 billion euros may have been misspent.

However, at a time when national governments under pressure from Eurosceptic parties denouncing waste in Brussels, the European Court of Auditors criticised member states’ failure to curb fraudulent and other unjustified claims for EU cash and praised the commission’s efforts to claw back misdirected funds.

Signing off on its audit of the 148.5 billion euros ($186 billion) of EU spending last year, the court put its estimated “error rate” — a statistical measure of what was spent in breach of EU rules — at between 3.5 per cent and 5.9 per cent, giving a headline rate in the middle of the range of 4.7 per cent, similar to 2012.

That reflects an improvement on the 6.9 per cent recorded in 2007, but exceeds levels seen in 2009-11 below 4 per cent.

In big net contributor states, like Germany and especially Britain, accounts of fraud, waste and inefficiency may fuel new grumbling about the EU.

British Prime Minister David Cameron, who plans a referendum on membership, is this week fighting a revision in states’ contributions to the EU budget that has seen London presented with a bill for an extra 2 billion euros.

In the 1,200 or so sample cases tracked by auditors, they found irregularities of some kind in over 40 per cent — including over half of those in the biggest parts of the budget, devoted to the likes of regional infrastructure and farm subsidies.

“There has to be more careful management and control of EU funds,” Court of Auditors President Vitor Caldeira said. “If EU citizens do not have a clear perception of the added value of EU spending, we will not have their trust.”

Regarding the EU executive led by Jean-Claude Juncker which took office this week for the next five years, Caldeira added: “This new commission is a golden opportunity to move from a spending culture to a performance culture.”

Incentives

The court noted that in such areas of spending, which account for much of a budget that makes up about 2 per cent of public expenditures across the 28-member bloc, national officials manage much of the payment systems. It found misspending higher in such areas than in budgets managed solely by the commission.

Among other examples, it cited the case of a Sardinian artichoke grower being found using harmful pesticides while claiming EU compensation for eschewing their use, a German airport contract awarded with EU support without tender rules having been followed, and Scottish farmers claiming EU subsidies while not meeting rules for the notification of movement of livestock.

Officials say national governments have little incentive to halt payments that would reduce the EU funds flowing to their country. Caldeira called for an effort to introduce incentives for curbing misspending and for directing money to those ends that do most to fulfil EU goals, such as creating jobs.

The auditors did not single out member states for criticism, saying they found misspending across the eurozone, adding that in a large proportion of cases national officials should have seen mistakes by simply looking at information they already held.

The court also welcomed efforts by the commission to correct errors and recover funds, estimating that without this action, misspending would have been 6.2 per cent of total spending rather than 4.7 per cent.  

DUBAI — The United Arab Emirates (UAE) economy, the Arab world’s second largest, is recovering at a fast pace from the global financial crisis but remains threatened by low oil prices, the International Monetary Fund (IMF) said Wednesday.

“Economic recovery has continued at a solid pace, supported by construction, logistics and hospitality,” a team from the IMF said after visiting the Gulf country.

Growth was underpinned by ongoing public projects in oil-rich Abu Dhabi and continued strength in Dubai’s services sectors, it indicated in a statement. 

UAE, the fourth largest supplier in the Organisation of Petroleum Exporting Countries (OPEC), was hit hard by the global financial crisis, strongly dampening economic growth which averaged just 1.5 per cent between 2007 and 2011.

The IMF projected the UAE economy would grow 4.25 per cent this year, down from 5.2 per cent in 2013 with non-oil growth forecast at 5.5 per cent.

The decline in oil prices, if sustained, could have a significant impact on revenues, the IMF warned, noting, however, that the UAE had sufficient fiscal buffers to minimise the fallout. 

The IMF welcomed stable real estate prices in Dubai as sales in summer moderated.

“The slower momentum in the market is welcome news following a period in which prices had increased at a fast pace,” it said.

Dubai and its government-related entities (GREs) have continued to improve their debt profiles after the major debt restructurings from the 2008-2009 crisis, the IMF said, adding that several GREs had begun to make early repayments.

While debt levels for some GREs remained significant, stronger financial positions and lengthened maturity profiles had further reduced debt-related risks. 

Dubai said this week it has repaid $1.93 billion raised from Islamic bonds known as “sukuk” and renewed its commitment to pay back billions of dollars worth of debt on time.

In August, the emirate’s real estate giant Nakheel repaid all of its $2.15 billion bank debt almost four years ahead of schedule.

Dubai in March managed to delay for another five years the repayment of $20 billion worth of debt it received from Abu Dhabi that had been due to mature this year.

IRBID — Canadian embassy's commercial attaché, Jean-Philippe Tachdjian, on Tuesday called for boosting trade exchange between Jordan and Canada, especially as they are signatory to a free trade agreement. During a visit to Irbid, where he met Irbid Chamber of Commerce Chairman Mohammad Shoha, he cited the "weak" trade balance between the two countries, noting that Canada's exports to Jordan stand at around $68 million, while its imports from the Kingdom amount to $44 million. Tachdjian said a series of meetings will be held for Canadian and Jordanian businesspeople and companies to look into ways to strengthen the joint-trade activities.

NEW YORK — Oil dived more than 3 per cent on Tuesday to multiyear lows, as Saudi Arabia's sharp cut in export prices to the United States looked likely to deepen a global supply glut that has already driven prices down 30 per cent since June.

On Monday, Saudi Arabia surprised the market by raising prices for Asia and Europe but cutting prices for US customers. Oil slid as much as $2 a barrel in late trade, and the sell-off continued Tuesday, triggering technical sell-stops.

"The Saudis have basically declared war on the US oil producers," said Phil Flynn at Price Futures Group. "I think they believe that the only way they're going to survive in the long term is to break the market in the short term."

US crude futures were down $2.33 at $76.45 after reaching the lowest price since October 2011.

Many analysts say the US shale boom could slow if crude stays below $80 a barrel.

The price of Brent for next-month delivery was down $2.22 at $82.56 by 1701 GMT after touching its lowest point since October 2010.

On Monday, longer-dated oil futures became more expensive than near-term contracts, putting charts into a contango structure for the first time since January 17. On Tuesday, the December/January spread was around minus 8.

US commercial crude stocks are likely to have risen last week in the fifth straight weekly stock build, according to a survey by Reuters.  

No OPEC consensus 

The Organisation of the Petroleum Exporting Countries (OPEC) could curb output when it meets November 27, but there are no clear signs that OPEC will curb production. Most core Gulf members have indicated little alarm over the price drop.

The United Arab Emirates oil minister said the country is "not panicking". Venezuela and Ecuador have said they are working on a joint proposal to defend oil prices.

"I can see OPEC and Saudi Arabia playing the long game. A low price for a period of time may actually play into the hands of people with a lot of reserves in the ground at cheap cost," Pierre Lorinet, chief financial officer of Trafigura, indicated at the Reuters Global Commodities Summit.

Ian Taylor, chief executive of Vitol, said at the Reuters summit that OPEC members would have "serious discussions" about an output cut.

"My feeling is we're underestimating now the possibility of OPEC cutting," he added.

Saudi Oil Minister Ali Al Naimi has not commented publicly on the oil market since September. On Wednesday, he will meet Venezuela's foreign minister Rafael Ramirez, also the head of its OPEC delegation, according to a person close to the Saudi delegation. 

If anything, Naimi may simply seek to explain Saudi Arabia's latest stance on the market, a tough message about how all big producers must be prepared to endure a period of lower prices in order to slow the march of their newest rival: The United States.

"I suspect that Naimi will tell the Venezuelans the unvarnished truth — prices have to go down quite a bit and stay down," says Philip K. Verleger, president of consultancy PKVerleger LLC and a one-time adviser to President Jimmy Carter.

Even if Naimi were rallying support for action, Latin American producers struggling to maintain output would likely be his last stop.

"This [trip] is very much a sign of business as usual without any panic," said Paul Horsnell, global head of commodities research at Standard Chartered Bank.

The visits may be an early indication that the three Latin American countries — once fierce competitors selling heavy crude into the premium US market — are finding common cause facing the fast-emerging threat of North American shale and oil sands.

"There are some interesting changes and opportunities today given the fact that the United States has become a major light sweet producer," said Amy Myers Jaffe, executive director of energy and sustainability at the University of California, Davis.

Climate and natural gas

The stated purpose of Naimi's trips is benign: He will attend a climate change conference in Venezuela and a natural gas conference in Mexico. Naimi has long been the kingdom's envoy to global climate talks, but he has not been to Venezuela since 2006.

But the visits will also afford a chance for Naimi — who was involved in the late 1990s talks — to explain the kingdom's relaxed stance on oil prices to Venezuela, one of the OPEC members at greatest risk from falling crude revenues. It may be a precursor to more difficult conversations down the road.

Less than four weeks before OPEC ministers meet in Vienna, there is no indication that the group's core Gulf members are in any hurry to tighten the taps. 

Without a reduction in OPEC output or a sharp slowdown in US shale production, some analysts expect prices to keep sliding into next year.

Officials in Venezuela and Mexico declined to say whether any direct discussions between oil officials were planned. 

Tough talk or friendly chat? 

Venezuelan officials have publicly lamented talk of a price war following Saudi Arabia's move last month to cut export prices of its crude, seen by some as an indication that the world's biggest exporter had shifted strategy towards defending its market share, even at the expense of lower global prices.

But that veiled criticism is a far cry from the open hostility between the two nations in the late 1990s, when Saudi Arabia sought to punish Venezuela for revving up output in excess of its OPEC quota by flooding the market — the last of several price wars within the group. Now Venezuela is fighting to keep output from falling.

"Right now if you wanted to get production cuts the last place you would go is Caracas or Mexico City," said Nathaniel Kern, president of Foreign Reports in Washington.

Mexico, not an OPEC member, was enlisted as an "honest broker" to get the two countries talking, said Horsnell. Oil prices had tumbled 40 per cent after the Asian financial crisis of 1997.

In the end, Algeria's oil minister acted as a go-between during months of cloak-and-dagger petro-diplomacy, involving unmarked jets, secret trips to Europe and, finally, a March 1998 output deal in a rented room at the Madrid airport.

Naimi's trip shows that talk of a current price war is overblown, says Horsnell.

LONDON — Oil prices fell Monday, hit by a strengthening dollar as dealers digested global manufacturing data for clues about demand growth, analysts said.

Brent North Sea crude for delivery in December slid 42 cents to stand at $85.44 a barrel in late London deals.

US benchmark West Texas Intermediate (WTI) for December lost 43 cents to $80.11 a barrel  compared with Friday's closing level. Crude oil futures had risen slightly earlier in the day.

"The focus right now is on the manufacturing data.... We are looking for signs of industrial growth, which will in turn mean greater crude demand," Daniel Ang, investment analyst at Phillip Futures brokers told AFP. 

The US manufacturing sector picked up speed in October after a dull September, with companies reporting rising orders and more job creation, but a significant slowdown in price gains, according to data released Monday.

The Institute for Supply Management's purchasing managers index (PMI) for last month jumped to 59 from 56.6 the previous month, though that put it back at the same level as in August.

A PMI reading above 50 indicates expansion.

Separate data published on Monday showed that activity in the eurozone's manufacturing sector nudged higher in October as businesses cut prices.

And over the weekend, China's official PMI came in at 50.8 in October compared with 51.1 in September — raising concerns about slowing growth in the world's second-largest economy and top energy consumer.

"Market participants will be keeping an eye on the recent macroeconomic indicators which could provide direction in the market," said Myrto Sokou, senior research analyst at Sucden brokerage firm.

AMMAN — Real estate trading volume in the first ten months of 2014 went up by 21 per cent, the Department of Lands and Survey (DLS) said  in its monthly report.

The DLS indicated that trading amounted to JD6.4 billion, compared to JD5.3 billion registered during January-October 2013.   Revenues from real estate deals totalled JD352 million, 18 per cent higher than the amount collected during the same period of last year. 

Apartment exemptions granted during the first ten months of this year came at JD68.5 million, bringing the total of revenues and exemptions to JD420.4 million, a 21 per cent increase. 

The department’s central and Amman branches accounted for 74 per cent of gross revenues with a total of JD260 million, while revenues in other governorates stood at JD91 million.

Non-Jordanian investors registered 4,263 buying transactions, 2,899 for apartments and 1,364 for lands, with an estimated value of JD398 million, marking an increase of 18 per cent compared with same period of last year.

Apartment transactions value reached JD256.4 million constituting 64 per cent of the total transactions, whereas land transactions registered JD141.6 million, representing 36 per cent.

In terms of nationality distribution, among non-Jordanians, Iraqis topped the list with a total of 1,829 real estates, followed by Saudis with 647, Kuwaitis with 399 and Syrians came fourth with buying 377 real estates.

Regarding real estate values, Iraqis also topped the list with JD227 million constituting 57 per cent of purchase values among non-Jordanians, during the same period of 2014.

Saudis came second with JD37.2 million comprising 9 per cent, followed by Syrians with JD24.2 million constituting 6 per cent, and UAE citizens came fourth with a total purchase value of JD16 million comprising 4 per cent.

The total transactions of selling real estates in the Kingdom during the first ten months of 2014 stood at 87,709 transactions with an increase of 6 per cent compared with the same period of 2013.

Amman registered 36,466 transactions marking a 42 per cent of the total transactions, with the other 51,243 transactions being distributed over the rest of governorates, constituting 58 per cent.

Amman’s transactions included 20,645 for apartments and 15,821 for lands, whereas other governorates’ transactions included 9,207 for apartments and 42,036 for lands. 

FRANKFURT — The European Central Bank (ECB) is likely to hold fire on new policy moves Thursday and leave a series of radical recent measures to take their course, despite pressure over a weak economic recovery, analysts say.

Unlike moves by the US Federal Reserve to end its stimulus spree and a surprise monetary easing plan by the Bank of Japan, ECB policymakers are expected to sit tight at their monthly meeting.

The week looks set to be particularly busy for the ECB, which on Tuesday takes on its role as Europe's banking watchdog in a historic shake-up to help ward off another financial crisis.

Howard Archer, of IHS Global Insight, said no new ECB decisions were likely for the time being, adding that "the bank will very probably remain in 'wait and see' mode into the New Year".

Interest rates are currently at their all-time lows anyway — 0.05 per cent for its main "refinancing" rate — and a rate hike seems unlikely at a time when the ECB is seeking to boost inflation from its stubborn lows.

Inflation in the 18-nation eurozone edged up to 0.4 per cent in October, official data showed Friday, far below the 2 per cent target set by the Frankfurt-based ECB, which has a core mission of ensuring price stability.

"If survey-based inflation expectations fall further, the pressure for additional ECB monetary easing will increase," Commerzbank's chief economist Joerg Kraemer said, however.

Current low inflation levels have stoked fears of deflation — when prices actually fall — which, if it takes hold, can trigger a vicious spiral where businesses and households delay purchases, throttling demand and causing companies to lay off workers.

Nevertheless, Carsten Brzeski, of ING-DiBa, said the latest "better-than-feared" economic eurozone data was one of several factors likely to allow the ECB "to wait, at least until the December meeting before possibly deciding on new action".

Expanding bank's balance sheet 

In addition to cutting interest rates, deflationary fears have prompted the ECB to pull out other tools, such as a series of liquidity programmes to inject cash into the economy.

After its TLTRO, or targeted long-term refinancing operations scheme, to make cheap liquidity available to banks on condition they lend it on to companies, and a programme to buy covered bonds, its latest move to kickstart credit in the euro area begins this month.

The ECB is launching purchases of asset-backed securities (ABS), or bundles of individual loans such as mortgages, car loans and credit-card debt sold on to investors, to allow banks to share the risk of default and free up funds to offer more lending.

But the central bank's target of boosting the size of its balance sheet by 1 trillion euros ($1.25 trillion) has made little headway through the first TLTRO or the initial covered bonds purchases.

Analysts have suggested that some banks may have preferred to hold off until after the results of the ECB's most stringent-ever audit were published. Last week, that audit awarded a clean bill of health to a large majority of eurozone banks.

Investors will be watchful Thursday for any comments by ECB President Mario Draghi on the possible purchase of corporate bonds following speculation this could be on the horizon.