"If you're going to panic, do it fast and beat the crowd." ~ Jesse Livermore

Monday, January 23, 2012

Eurozone burns money while the banks fiddle their balance sheets

Eurozone burns money while the banks fiddle their balance sheets
In the end, this eurozone crisis is less about Greek pensions or Italian welfare payments than it is about the region's Gordian knot of entwined bank and sovereign debt. Photo: AP By Liam Halligan These words, among the many pearls uttered by the...


Views under the Palm - johnmpoole.com: European Banks: Caveat Emptor: "European banks were already in trouble due to their Eurozone bond holdings, so now they have nothing to lose in taking on more toxic assets? We may be headed for an even bigger bust down the road and have the ECB to thank for it"

Central Bank Becomes an Unlikely Hero in Euro Crisis
New York Times
Though on a smaller scale and in a subtler manner, it has in many ways taken a page from the United States Federal Reserve's playbook for the 2008 financial crisis, which has been roundly criticized in Europe as a reckless bailout that risks setting ...

New York Times

Eurozone outlook still partly cloudy: BMO
Ottawa Citizen
By Eric Lam, Financial Post January 19, 2012 TORONTO - With a new year comes new hope, and there are some glimmers of light at the end of the tunnel when it comes to the eurozone crisis even as the outlook remains dim, Bank of Montreal experts said ...

Germany's Westerwelle Says Firewall Needed to Stem Euro Crisis
“It is absolutely decisive that we stay together in the euro zone, that we understand Europe and the euro zone is not only our destiny, it's also our desire.” He added that it was a crucial time “not only for Greece but for the euro zone. ...

Greece deal will stabilise eurozone: Goldman
ATHENS — A massive debt writedown for Greece will stabilise the eurozone by removing a threat posed by its "weak link," a strategist with investment bank Goldman Sachs said in an interview published on Sunday. Greece needs a so-called PSI, ...


Euro crisis dominates as Finns choose new president
http://www.euronews.net/ The people of Finland have begun voting in the first round of the presidential election after a campaign dominated by the euro crisis. Opinion polls suggest most voters want the country to remain pro-Europe and in the single ...

Grand Duchy exposes eurozone fault lines
Financial Times
But when the tiny Grand Duchy threw down the gauntlet last week over a vacancy in the European Central Bank's executive board, it exposed eurozone fault lines that could yet determine how the region's debt crisis plays out. Little noticed during the ...

IMF should stay out of the eurozone crisis
Financial Times
Would an increase in IMF funds to bail out the eurozone be justified? In particular, should non-eurozone countries participate in raising this new capital? The IMF is right, of course, to conclude that the eurozone crisis is the main risk facing the ...

Italy and Spain call for eurozone rescue fund booster
Political leaders in Italy and Spain have called for a massive boost to the EU rescue fund and a blast of monetary stimulus by the European Central Bank (ECB), putting them on a collision course with Germany over the handling of the eurozone crisis. ...


German Finance Minister:Markets Starting To Have Confidence In Euro Zone
Wall Street Journal
BERLIN (Dow Jones)--German Finance Minister Wolfgang Schaeuble said Sunday that the success of recent European bond auctions demonstrated that financial markets were gradually regaining confidence in the euro zone. "The decisions made by the heads of ...

Mario Monti calls for doubling of eurozone bail-out fund
Italian Prime Minister Mario Monti has called for the eurozone to double the size of the region's permanent bail-out fund to help stricken states. Doubling the European Stability Mechanism's (ESM) current capacity would reassure markets while driving ...


Dubai: Financial Crisis Assessment
Dubai Chronicle
According to data released by TRI Hospitality Consulting in middle of December 2011, occupancy rates at city's hotels have came back to the boom levels of 2007, prior to the financial crisis. Dubai's occupancy rates hit 87.3% in October 2011, ...

Euro zone concerns leading to negative sentiments
Economic Times
The credit rating agency Standard & Poor's has announced a mass rating downgrade of nine out of 17 Euro zone nations last week. There are possibilities that the rating of Euro zone's bailout fund, the European Financial Stability Facility (EFSF), ...

Italy's Monti: High Expectations To See Euro Zone Bonds:Not Before 2013
Wall Street Journal
ROME (Dow Jones)--Italian Prime Minister Mario Monti said Sunday he has "very high" expectations that euro zone bonds will be introduced but it is unlikely to happen before 2013. Premier Monti, speaking on state-television broadcaster RAI, ...

Eurozone burns money while the banks fiddle their balance sheets
ForexLive (blog)
Ambrose explains us all the time how we(I am German monetary 'purist') are all wrong and money printing will help and how M1,2 & 3 are falling off a cliff across the Eurozone.Debt monetisation is bad according to Halligan when it is done by Europe,but ...

Stephen Donnelly: Small eurozone states must work together to scare away ...
Irish Independent
We need to form alliances with other small eurozone members, each of whom has one of the 17 votes on the ECB's board. We need to be bolder. Our first opportunity comes this Wednesday, when we are due to pay €1.25bn to the anonymous holders of ...

The sinking of the eurozone
Cyprus Mail
Just like the Costa Concordia, the eurozone has veered off course and is listing dangerously. Credit rating agencies have been warning about the conditions in the eurozone for some time. Yet, the latest round of downgrading by Standard & Poor's was ...

Meaningful Improvement In Eurozone Fundamentals
Seeking Alpha
Here's a quick recap of important indicators of financial market health, which all register substantial improvement, especially in the Eurozone. Even though a Greek default is a virtual certainty (Greek 2-yr yields today are 180%), these indicators ...

Greece? Worry Over the Romanians
Most commentary on Europe's troubles has focused on the PIIGS nations (Portugal, Italy, Ireland, Greece and Spain). But the meltdown that's followed the financial crisis of 2008-9 is having even more severe political and economic effects in much of the ...

How Big Money Bought Our Democracy, Corrupted Both Parties, and Set Us Up for ...
Bill Moyers talks to President Reagan's former budget director and to Gretchen Morgenson of the New York Times about the way Wall Street runs Washington. "Crony capitalism is about the aggressive and proactive use of political resources, lobbying, ...

Eurozone crisis sparks dive in level of future pensions
This is Money
Turmoil in the eurozone has played a part by causing the returns earned on British Government bonds, known as gilts – on which annuities depend – to fall sharply. A man aged 65 with a £50000 pension pot would have been able to purchase a conventional ...

Spreads tighten on eurozone funding relief, Winsway falls
Business Recorder (blog)
Asian credit spreads compressed and new issues rallied on the back of positive global risk sentiment but Chinese high yield industrial bonds underperformed following fraud allegations about Winsway Coking Coal's books. That along with the positive data ...

Larger Asian companies look to Europe
Financial Times
By Patrick Jenkins, Banking Editor Nearly half of Asia's larger companies are planning to make a significant acquisition in Europe over the next year, drawn by the availability of cheap assets amid the eurozone crisis, according to a new international ...

Drastic reworking of global financial pipelines
The problem has become acute in Europe, whose crisis has been belatedly recognised as reflecting something more than turmoil in the Eurozone's weakest countries. It also reflects broad-based contamination, resulting, most recently, in France's loss of ...

Markets positive on Eurozone's prospects
New Europe (blog)
Greek Prime Minister Loukas Papademos, an ex vice governor of ECB, in his first interview with a newspaper since taking up his new role, told the New York Times that he is contemplating introducing legislation in parliament to force the country's ...

Patchwork Europe to avert meltdown
Adelaide Now
EUROZONE countries are likely to "muddle through" and avoid a meltdown, Deloitte Access Economics predicts. The forecaster's quarterly Business Outlook, out today, outlines two paths, each dependent on European fortunes. The "marginally more likely" ...

Germany has the economic strengths America once boasted
Los Angeles Times
It has tightly managed its budget and adopted reforms — such as raising the retirement age — that some other Eurozone nations are just now being forced to undertake. And few countries can match Germany's capabilities for producing and exporting ...

Los Angeles Times

We're being sent the bill for the euro crisis again – this time by the IMF
Telegraph.co.uk (blog)
By Daniel Hannan Politics Last updated: January 21st, 2012 First it was individual banks; then whole industries; then entire countries; now it's the world. Western leaders have reacted to the failure of each bailout by decreeing a bigger one. ...

Insider Trading vs Financial Crisis Prosecution | The Big Picture
By Barry Ritholtz
Insider Trading vs Financial Crisis Prosecution ·
The Big Picture

Fuel Fix » Grand Duchy exposes eurozone fault lines
By FT.com - Energy
... January 22, 2012 at 10:18 am by FT.com - Energy in. 3. |. Tweet. Share share E-mail. Behind Luxembourg's claim to a seat on the ECB executive board lies a widening north-south divide over the central bank. 3. |. Tweet. Share share E-mail ...
Fuel Fix

Eurozone Burns Money While the Banks Fiddle Their Balance ...
By Stefan B
Eurozone Burns Money While the Banks Fiddle Their Balance Sheets. 'Nothing is safe that does not show it can bear discussion and publicity.” by Liam Halligan, Telegraph.co.uk: These words, among the many pearls uttered by the celebrated ...

Sober Look: The latest actions in the Eurozone's "war'
By Walter Kurtz
The Eurozone bureaucrats and the ECB are trying to use an economic equivalent of the Powell Doctrine in fighting the crisis. Finally they are starting to realize the need for employing all available resources that are politically viable in the ...
Sober Look

Sustaining China's Economic Growth after the Global Financial Crisis
By FT News
Nicolas Lardy's account of China's economy is dry but nonetheless important, writes Simon Rabinovitch More...
WORLD Law Direct Forums

Gold Settles Higher on Euro Zone Optimism | Stock Market News
By edliston
Gold prices settled higher in trading on Friday on optimism over the euro zone. Investors' sentiment was lifted on Friday on hopes that Greece and private.
Stock Market News

Ernst & Young: Eurozone Crisis Continues To Challenge Resilient ...
By Rob Starr, Big4.com
The RGMs are expected to grow collectively by 5.3% in 2012 in contrast to the mild recession expected in the Eurozone in H1 2012 and modest growth in the US.

European exchange rates volatility and its asymmetrical ...
By repec
We analyze four currencies of new EU member states, two currencies of non euro area old EU members, US dollar and Swiss franc against the euro during the period financial crisis. We apply a modified TARCH model on data grouped into ...

Terence McKenna's “Meltdown” – On The Global Financial Crisis ...
By noreply@blogger.com (Lesley Gunter)
Terence McKenna's “Meltdown” – On The Global Financial Crisis. « What's All This, Then? Terence McKenna's “Meltdown” – On The Global Financial Crisis. « What's All This, Then? Posted by Lesley Gunter at 12:07:00 AM. Labels: conspiracy ...
The Debris Field

Ruth Lea: The IMF should stop propping up the Eurozone ...
By Conservative Home
Helped by the ECB's huge liquidity boost, launched last December, the financial markets have recently become more optimistic about the prospects for the Eurozone. There has even been talk that the Eurozone crisis may be on the way to ...
ConservativeHome's Columnists Page

Daily Digest 1/22 - How China's Boom Caused Financial Crisis ...
By DailyDigest
How China's Boom Caused The Financial Crisis Top Justice officials linked to mortgage banks Subculture of Americans prepares for civilization's collapse Chefs, Butlers, Marble Baths: Hospitals Vie for the Affluent Bad Year for Wall St. Not ...
Chris Martenson - Daily Digest

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