Rolling business and financial news, as the two most powerful people in the euro area discuss key issues affecting the single currency 8.54am GMT The Merkel-Draghi meeting starts in an hour or so:Merkel meets Draghi today at 11CET #Greece 8.51am GMT There’s a one in four chance that Greece will quit the eurozone by the autumn, sending the euro sliding, says investment bank Morgan Stanley this morning.25% chance of "Grexit" over next 6 months (and rising); chance of "misstep" requiring capital controls up to 33% from 20% -Morgan StanleyEuro heading for $0.90, and probably below, if bearish Greece scenarios play out -Morgan Stanley"We take Greek Government Bonds off our top 15 trades for 2015" -Morgan Stanley 8.45am GMT UK consumers can look forward to falling prices.Food deflation is likely to persist for the rest of this calendar year, and competitive pressures on price will continue.” Related: Sainsbury’s sales fall again amid price pressures and tough competition 8.30am GMT Mario Draghi isn’t the only central bank chief with problems. Over in Japan, governor Haruhiko Kuroda has admitted that the Japanese inflation rate could soon turn negative.I really wonder if destroying the currency is the best course of action if the reward is only a bit higher inflation. #Japan 8.20am GMT Car sales across the European Union have risen for the 18th month running, as the region’s bruised auto industry continues to recover.New car registrations jumped by 7.3% year-on-year in February, with growth across the region, industry body ACEA reported. 8.00am GMT Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.“Most indicators suggest a sustained recovery is taking hold...”“A nascent recovery provides us with a window of opportunity, with the conditions to press ahead with reforms that will make the euro area less fragile and vulnerable to shocks.” Continue reading...
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