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

Wednesday, March 21, 2012

Dutch break rules, Europe's fiscal pact in disarray

Europe's fiscal pact in disarray as even Dutch break the rules - Telegraph: "The Netherlands, one of the eurozone's "hardliners" on financial discipline, has the "same problems as Italy and Spain" and is on track to break Europe's three-week old fiscal pact, its own officials have warned. . . . In a report that will embarrass the Dutch government but delight Club Med countries, the CPB said: "The Netherlands is confronted with the same problems as Italy and Spain." The Dutch government will have to introduce a raft of austerity cuts in order to meet the targets, the state think-thank said. Last year the Dutch prime minister, Mark Rutte, and finance minister, Jan Kees de Jager, called for countries that break fiscal rules to be expelled from the eurozone. . . . "

Parsing the Eurozone's Current Account Surplus
By Marc Chandler NEW YORK (BBH FX Strategy) -- On Monday the eurozone reported that its January current account surplus of 4.5 billion euros was its largest in almost five years. The December surplus was revised to 3.4 billion from 2.0 billion ...


Eurozone woes clearest risk to economy: RBA
ABC Online
By business editor Peter Ryan The board of the Reserve Bank has warned that any new escalation of the eurozone debt crisis remains the biggest risk to the Australian economy. In the minutes from its March 6 meeting, the board provided a reality check ...

Thoughts about the Euro Zone's External Accounts
Business Insider
Yesterday, the euro zone reported that its January current account surplus of 4.5 bln euros was largest in almost five years. The December surplus was revised to 3.4 bln from 2.0 bln initially. The monthly swings of the time series can be misleading ...

Today in the euro zone – Monti's labours
Reuters Blogs (blog)
A number of key factors have helped move the euro zone debt crisis on from critical to chronic; top of the list was the ECB's creation of a trillion euros of three-year money but not far behind came the elevation of Monti and the hope invested in him ...

BC-EU--Greece-Financial Crisis, 2nd Ld-Writethru,0629 Greek Parliament set to ...
Chicago Daily Herald
By NICHOLAS PAPHITIS AP ATHENS, Greece (AP) — Greece's Parliament is set to approve the debt-crippled country's new international bailout deal late Tuesday as Communist party supporters prepare to protest against the austerity measures being imposed ...

Greece, Eurozone and the IMF
Global Economic Intersection
Table 2 projects disbursements under the Fund's new Extended Fund Facility (EFF) and Eurozone support. The Fund has agreed to quarterly payments of €6.2 billion, provided Greece achieves numerous qualitative and quantitative performance targets.

Global Economic Intersection

Germany Loses Bid for Tax
Wall Street Journal
By WILLIAM BOSTON And BEAT PREUSCHOFF BERLIN—Germany appears to have accepted defeat in its efforts to convince other European countries to impose a kind of sales tax on financial transactions in the European Union or in the smaller euro zone, ...

Global financial crisis impacted India significantly: RBI
Economic Times
NEW DELHI: Reserve Bank today said global financial crisis impacted India significantly despite sound banking system and negligible exposure of banks to sub-prime assets. "The global financial crisis impacted India significantly, notwithstanding the ...

Euro zone crisis tops Pranab Mukherjee-Christine Lagarde talks
India Today
International Monetary Fund (IMF) managing director Christine Lagarde on Monday met Finance Minister Pranab Mukherjee and discussed the Euro zone crisis and the new role that emerging countries like India are expected to play in the global economy.

India Today

Eurozone crisis live: Mario Monti holds crunch talks with Italian unions
The Guardian
Before the financial crisis, just 1% of loans on the books of Spanish banks were 'bad'. 9.54am: Spain's borrowing costs have fallen again, continuing the recent trend of successful debt auctions. It sold €3.6bn of 12-month bills at an average yield ...

The Guardian

EU-Wide, Euro Zone-Wide Financial Transaction Tax Unlikely-German Fin Min
Wall Street Journal
BERLIN (Dow Jones)--German Finance Minister Wolfgang Schaeuble told lawmakers Tuesday that he considers it unlikely that a tax on financial transactions can be implemented either in all 27 European Union states or even just in the 17-nation euro-zone, ...

Oil top worry as eurozone crisis 'not as acute', says IMF head
Christine Lagarde says there has been an 'attention shift' from the eurozone crisis to the rising oil price. by Chris Marshall on Mar 20, 2012 at 17:38 The world economy is 'further away from the abyss' than it was three months ago, the head of the ...

Reserve Bank in reality check on eurozone optimism
ABC Online
EMILY BOURKE: Back home now, and the Reserve Bank has warned that any new escalation in the eurozone debt crisis remains the biggest threat to the Australian economy. In the minutes from the March meeting, the RBA board has provided a reality check on ...

Euro zone leaders will save monetary union: German ambassador
The Nation
In spite of the current gloomy economic prospects in the European Union, the German ambassador to Thailand has said the euro zone is unlikely to break up because its leaders are committed to saving the monetary union. In addition, the economic woes in ...

The Nation

Weidmann - must break bank, sovereign debt nexus
FRANKFURT, March 20 (Reuters) - The euro zoneneeds to address the problem of banks being overloaded with sovereign debt from their home countries, European Central Bank policymaker Jens Weidmann said on ...

Investing in PIIGS: Italy
Financial News
Financial News is this week looking at each of the five 'PIIGS' nations and comparing how they have progressed over the past year. Today, we look at Italy's progress under Mario Monti. He is called “Super Mario”, “the professor” and even “a modern day ...

Financial News

Geithner Says Euro Crisis Economies Have Made Progress
WASHINGTON -- Treasury Secretary Timothy Geithner Monday said Europe's financial crisishas already caused significant damage to the US recovery, and urged the continent's leaders to take further steps to shore up their economies.

Money market funds still face contagion risk: SEC's Plaze
By Jason Kephart What keeps Robert E. Plaze up at night? The deputy director of the Securities and Exchange Commission's Division of Investment Management no doubt loses sleep over the thought that mistakes made by one money market fund could spread ...

Consumer Industry M&A Recovery Slows as Euro Zone Crisis Hits Confidence, says ...
Business Standard
A widespread global recovery in mergers and acquisitions (M&A) activity in the food, drink, consumer goods and retail sectors has been slowed in the second half of 2011 by low consumer confidence and uncertainty over the euro zone financial crisis.

Insurance Pays Off in Greece
Wall Street Journal (blog)
The new securities included high-quality bonds issued by the euro-zone bailout fund and a series of lower-quality new Greek bonds; in total, the package was valued at around 23 cents for every euro of debt exchanged. That implies CDS holders should ...

ECB's Nowotny: euro zone north-south split to grow
FRANKFURT (Reuters) – The gap between northern and southern euro zonecountries will widen in 2012 and probably in the two following years, European Central Bank policymaker Ewald Nowotny said on Tuesday. “Such a divergence is unfortunately to be ...


ECB's Weidmann Says Need to Better Understand Cause of Crisis
European Central Bank council member Jens Weidmann said policy makers still need to gain a “deeper understanding” of what caused the financial crisis. One “important channel ofcontagion has been the heavy concentration of sovereign debt at the ...

Euro crisis not over yet as Portugal looks likely to default
Irish Times
Investors already have Portugal in their sights and the beleaguered country's sovereign debt has failed to participate in the meaningful downtick in eurozone government bond yields precipitated by the first tranche of the ECB's three-year long-term ...

ECB Nowotny: No Risk Of Contagion From Greek CDS For Ireland, Portugal
VIENNA -(Dow Jones)- There is no risk of contagion from Greece in the costs of insuring Irish and Portuguese debt, said European Central Bank Governing Council member Ewald Nowotny Tuesday. "The development so far is that, contrary to earlier fears, ...

European Financial Crisis: Was ECB's €500B-Rescue A Bear Stearns Moment?
International Business Times
By Hao Li: Subscribe to Hao's RSS feed The European financial crisis has seemingly abated after Greece managed an orderly default on €100 billion ($132 billion) worth of its debt and the European Central Bank injected banks with €530 billion in ...

International Business Times

Investors shed euro zone bonds in January
Malaysia Star
FRANKFURT: Investment flowed out of the euro zone at the fastest pace in three years in January as investors outside the common currency bloc shed debt issued in the area, European Central Bank (ECB) data showed. Since January, the euro zone debt ...

Euro zone north-south split to grow: ECB
Globe and Mail
The gap between northern and southern euro zone countries will widen in 2012 and probably in the two following years, European Central Bank policy maker Ewald Nowotny said on Tuesday. “Such a divergence is unfortunately to be expected in 2012 and also ...

Globe and Mail

WTO's Lamy: Euro zone woes may lead to trade protectionism
by Linette Lim SINGAPORE - The euro zone's debt woes may lead to countries resorting to protectionism, World Trade Organization Director-General Pascal Lamy (picture) said in a conference in Singapore yesterday. Events such as the Arab Spring in the ...

A brief political economy of the euro zone crisis | East Asia Forum
By Razeen Sally
Author: Razeen Sally, ECIPE The EU seems totally consumed by an existential battle to save the euro. But there are other symptoms of European.
East Asia Forum

Geithner Says Euro Crisis Economies Have Made Progress @ Forex ...
By From nasdaq.com
Geithner Says Euro Crisis Economies Have Made Progress - Treasury Secretary Timothy Geithner Monday said Europe's financial crisis has already caused significant damage to the U.S. recovery, and urged the continent's leaders to take ...
Forex Factory

Eurozone Banks and Contagion Risk | What Am I Missing Here?
By WhatAmIMissingHere
International Monetary Fund, European Central Bank and European Investment Bank have retrospectively inserted themselves as senior creditors, a precedent that should be of great concern and which has profound implications for private ...
What Am I Missing Here?

Dechert: The Eurozone Crisis: Risk Planning for Asset Managers
By Administrator
Dechert: The Eurozone Crisis: Risk Planning for Asset Managers.

Euro crisis: “The worst, I fear, still lies ahead.” « Slugger O'Toole
By Pete Baker
The markets have concluded that the eurozone crisis has ended. Several politicians said that they, too, believed that the worst was over. Complacency is back. I recall similar utterances in the past. Whenever there is some technical progress ...
Slugger O'Toole

ECB's Nowotny: Eurozone will likely develop at different speeds until ...
By Joe Brown
Greece can't be compared with Spain and Italy Portugal is in better shape than Greece Pimco's forecast on Portugal is extremely problematic Oil.

XE.com - Austria can avoid recession but eurozone key-c.bank
Austria looks set to avoid a recession as long as the euro zone debt crisis does not flare up again, the central bank said on Tuesday.
XE Forex News

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