ECB & BOE hold rates; Initial Claims; Pending Home Sales

Summary: Initial claims decline, but continuing claims worsen. Pending home sales flat; off 20% YOY.

ECB & BOE refuse to cut on inflation fears, plunging dollar and spiking commodities.

ECB & BOE Rate Announcement

The BOE Bank of England kept its benchmark rate unchanged at 5.25% today after cutting it twice in the past three months.

ECB head Jean Claude "Tricky" Trichet:

"The current monetary-policy stance will contribute to curbing inflation."

Trichet left the ECB key rate at a six-year high of 4%. The Euro jumped to 1.53 per dollar and has gained 17% in the past year.

Gold, oil and other commodities spiked adding to the already out of control double digit stagflation.

Initial Claims 03/01 -24K at 351K vs prior 375K Full Report

Inside the number: Prior revised up 2K. 4 week MA -1.5K 359.5K; Continuing unemployment +29K at 2.831M; 4 week MA +12.75K at 2.789M.

Pending Home Sales Jan FLAT vs prior +1.5% Full Report

Inside the number: YOY -20%

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