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This is this Imus in the morning from.
Morning everyone oil is now trading lower today after pretty crazy afternoon yesterday right now we're seeing around 107 almost 108 dollars a -- -- down by about 85 cents.
And that was after it spiked above 110 dollars yesterday afternoon following a report from an -- -- -- news outlet of an explosion along a Saudi Arabian pipeline.
A Saudi oil official told Fox Business there was no explosion and no disruptions and as you can see the price of oil hasn't started coming down.
Meanwhile European Union leaders have signed off on a new pact to enforce debt reduction rules more strictly.
As they wrap up their two day summit in Brussels today 25 of the region's leaders approved the measure with the UK and Czech Republic being the only holdouts.
The plan allows for quick action against members who don't follow their balanced budget provisions and any country that doesn't improve the plan will be cut off from the EU's bailout fund.
Leaders agreed to get that money to the fund quicker with full capitalization now expected to come by 2015 a year ahead of schedule.
The region's finance ministers also sign the agreement to give Greece its 170 billion dollar bailout provided a 133 billion dollar bond swap with creditors in the coming weeks goes according to plan.
And now let's take a look.
At commodities as -- -- oil you saw earlier was down but now gold is also down by around nine dollars.
And checking out European market there also -- -- -- like everything else right now London's down by about seventeen points Paris is down by three and the Dax is down by about 29 point.
Meanwhile Spain said it will miss its deficit goal this year risking sanctions from the European Union.
The deficit will reach five point 8% compared to the four point 4%.
Originally promised and overnight deposits with the European central banks -- 63%.
To a record one point oh report trillion dollars.
After it issued a huge batch -- emergency loans to European banks.
Now let's take a look a closer look anywhere what's moving as European markets -- I just global insight.
Don Rand up over in London -- ECB's reporting another record for overnight deposits does that mean this new batch of emergency loans to European banks is working as intended.
What I think it was inevitable that with the the offering of for humans are upset some the money's gonna be recycled -- To the ECB.
-- show the allow banks to soul still -- course and they still prefer to keep that money with the ECB -- lend to each other in the Interbank market.
But the the actual needs to -- have been doing has been very important thing.
In keeping basically.
Afloat with liquidity so they can -- there and refinancing.
The -- questioned whether some of the money actually and to the -- calling him -- that's the real.
Intentional thing behind Google.
That does seem to be the big question but the other part coming from critics is that this money could also just trigger more inflation I wonder -- UA and there.
While it's difficult to see how this could trigger inflation -- -- got unemployment.
Rising to record -- -- -- is so much excess capacity.
Inflation really isn't on the radar yet.
The real question is you know a look at all of this money that the ECB be offering effectively printing money spent the printing money for offering 11311.
-- -- House kept the banking system reflect giving them a -- time to repair that balance sheets.
To raise capital -- they have to raise that capital ratio is more importantly.
But also it's it's electric -- -- rekindled the carry trade for those banks have strong balance sheets.
Help rekindle carry trade into the several bull markets privately and reduce that.
-- on borrowing costs anyway two to pull -- levels.
The real questions about growth I mean none of this really.
Capital and -- will be -- but.
Until last -- growth can in the European economies.
I'm not really means resolving.
The Euro zone crisis itself.
We're not there yet under the -- approach has been step by step.
Recede in importance that day in terms of the fiscal -- which is introducing job and styled -- breaks.
The next week is very important the private sector bond exchange -- to fall into place.
And it wants these things fall into -- -- and Michael consider raising the bailout fund.
And I will see out outlays that -- thank you.
And now let's see -- US markets are shaping up with -- in ninety minutes and still be opening bell.
Right now we're seeing Dow futures down by three the S and he's down by five and the nasdaq's down.
About eight again one more quick look at commodities -- oil and gold are still look down oil down by about eighty cents.
While gold is down.
By about ten bucks coming -- -- -- for Imus is guess -- be the one and only Neil Cavuto of Fox Business Imus in the morning continues right now on Fox Business.
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