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

Monday, March 26, 2012

Eurozone debt crisis: Germany must let bailout fund grow; how Greece could exit the euro

Eurozone debt crisis: Germany 'must let bailout fund grow' - Telegraph: "European leaders have united to urge Germany to agree to boost the "big bazooka" bail-out fund this week amid fears that markets will turn against Spain, Ireland and Portugal without urgent support."

Eurozone debt crisis: how Greece could exit the euro - Telegraph: "As global companies draw up contingency plans for a Greek exit from the euro, we examine the feasibility of Athens’ departure – from new drachmas to illegality and €1 trillion costs."

Euro Zone Needs To Complete Its Crisis Response -EU's Rehn
Wall Street Journal
The debate among euro-zone countries focuses on what happens during the one year that the two funds co-exist. Currently, their combined lending capacity is capped at EUR500 billion, but the Commission has proposed to combine the two funds.

Italy PM Monti says worried about contagion from Spain
CERNOBBIO, Italy, March 24 (Reuters) - Italian Prime Minister Mario Monti expressed concern about Spain's public finances on Saturday and said it would not take much to reignite the euro zone debt crisis and revive the risk of it spreading to Italy.

Detroit's financial crisis: City could learn its fate this week
Detroit Free Press
... well after Monday's deadline -- after a lawsuit was filed claiming the process violated the Open Meetings Act. State officials described the order as "crippling" and affecting "the most significantfinancial crisis in (Detroit's) history.

Eurozone debt crisis: Germany 'must let bailout fund grow'
Finland, one of the last four remaining AAA-rated countries in the eurozone, is also concerned about uniting the bail-out funds. The Finnish prime minister, Jyrki Katainen, said: "The firewall must be high enough, but not too high, which could destroy ...


Eurozone split on boosting firewall
Independent Online
By SAPA The eurozone remained divided Saturday ahead of a decision next week on whether to boost its debt crisis rescue fund, with especially Germany and Finland sceptical. The split was evident at an informal meeting of European officials in the ...

Independent Online

Merkel set to allow firewall to rise
Financial Times
Germany is poised to bow to international pressure and allow a temporary increase in the eurozone's financial “firewall” this week, to prevent the crisis in the region's periphery spreading to other member states. Officials in Berlin signalled on ...

Financial Times

Spain could hold presidency of eurozone rescue fund
SAARISELKAE, Finland — Spain appears well-placed to obtain the presidency of the eurozone's permanent rescue fund ESM amid a redistribution of top posts in Europe, a European official told AFP on Sunday. "It's a real possibility," a source speaking on ...


25/03/2012Boosting eurozone rescue fund would calm markets: Regling
Expatica Germany
Bolstering the eurozone's bailout fund would reassure the markets as many financial players do not believe the crisis is over, Klaus Regling, the head of the fund has told a German news magazine. "The majority of market participants do not believe in ...

'Mission impossible' for Spain's PM – another €40bn in cuts
The Guardian
A win in Andalucia would give Rajoy unprecedented control over troublesome regional governments whose inability to reduce deficits has helped to put Spain centre-stage in the eurozone crisis. Asturias, a much smaller northern region, was also voting.

The Guardian

Spain 'causing concern,' Monti warns
Financial Times
Spain's hesitancy in fixing its public finances risks spooking investors and rekindling theeurozone debt crisis, Italy's prime minister warned as pressure rises on Madrid to dispel doubts over its budget-cutting credentials.

Europe's bailout bazooka is proving to be a toy gun
Financial Times
And it's set to get worse once the markets discover that the eurozone is about to fudge the increase in the European rescue umbrella. The argument I am hearing is a wonderful example of circular logic: we don't need a bigger umbrella because market ...

Israel study: Immigration from North American, Europe drops despite financial ...
By Hila Weisberg Tags: aliyah US Europe Jewish World Immigration to Israel from North America and Europe decreased last year even though these places were mired in financial crisis, the Immigrant Absorption Ministry said. Immigration from the United ...


German SPD Criticizes Merkel Move To Compromise On Boosting Euro Firewall
Wall Street Journal
By Vanessa Fuhrmans Germany's opposition Social Democrats criticized Chancellor Angela Merkel's apparent moves to compromise on boosting the euro zone's rescue capabilities amid staunch opposition among German voters to more bailouts.

UN Official Calls for 'Drastic' Reform of Financial System
Wall Street Journal
Mr. Supachai said that this sort of flexibility should also be allowed within a currency union, such as the euro zone. He believes that it is essential for the health of the global economy that the euro zone survives but this can only happen if members ...

Wall Street Journal

'Boost bailout fund', chief says
THE chief executive of the eurozone's bailout fund has called for it to be bolstered to reassure markets. "The majority of market participants do not believe in the end of the crisis and expect further ratings downgrades of states this year," Klaus ...


In Europe, Where Art Is Life, Ax Falls on Public Financing
New York Times
So have others that are being forced to cut public spending to remain in the euro zone, including Greece, Portugal, Spain and Ireland. In the case of the Netherlands, the culture budget is being cut by about $265 million, or 25 percent, by the start of ...

New York Times

Brighter prospects for Eurozone
New Europe (blog)
Reality seems to be better than predictions as far as growth is concerned in the Eurozone'seconomy during the first months of 2012 – the International Monetary Fund (IMF) and OECD are now predicting that the 17-member money zone is less likely to ...

Can Euro crisis be solved without improving competitiveness?
Sunday's Zaman
Let me approach the question from a different angle: Let us envision what the Greek, Spanish or Portuguese economies should look like, if Europe's strategy for dealing with the euro crisiswere successful? They should look more like the German economy, ...

Cyprus signals exit for respected bank chief
Financial Times
Athanasios Orphanides, a former senior economist at the US Federal Reserve, steered Cyprus into the eurozone in 2008. But he has become a controversial figure in Nicosia after clashing publicly with the communist government over its reluctance to curb ...

Companies revamp risk management after tsunami, euro-zone turmoil, Arab uprisings
CGMA Magazine
By Sabine Vollmer Feeling increasingly exposed to unpredictable events such as political uprisings and natural disasters, companies worldwide updated their risk management strategy in 2011, a new survey suggests. Forty-five percent of respondents to a ...

Italy PM says the higher the firewall the better-Nikkei
| TOKYO, March 25 (Reuters) - Italian Prime Minister Mario Monti believes that the bigger the lending capacity of the euro zone's bailout funds, the better, though the scheme must also be realistic, Japan's Nikkei business daily reported on Sunday.

Merkel: Greece 'must stay in eurozone'
German Chancellor Angela Merkel said it would be "catastrophic" to allow Greece to leave theeurozone because of its debt problems. Speaking in a British television interview to be broadcast on Monday, she said Athens had a "long and arduous road" to ...

Spaniards vote in key regional elections
Spain has been severely hit by the European financial crisis, and is struggling with a euro-zonehigh unemployment rate of nearly 23 percent. First quarter figures are expected to show the economy has slipped into its second recession in three years ...

Europe hunts for elusive growth in austere Arctic
Business Standard
With 24 million people unemployed across the 27 countries of the EU, the highest level of unemployment since 1998, and the euro zone economy expected to contract this year, the region faces its most challenging economic outlook in decades, ...

Report: Berlin to accept bailout fund boost
The Local.de
Germany is reportedly prepared to fall in line with the rest of the eurozone and drop its resistance to calls to boost the bloc's bailout funds. Der Spiegel magazine reported Saturday that Chancellor Angela Merkel and Finance Minister Wolfgang Schäuble ...

The Local.de

Why Europe Is Lagging
As the US economy finds its footing, these four factors are holding the eurozone back. By Bearemy Glaser | 03-25-12 | 06:00 AM | E-mail Article We got more bad news from Europe this week, and for once it wasn't explicitly about the sovereign debt ...

German stands up for Greek wine
BBC News
By Clark Boyd PRI's The World The Greek financial crisis has generated a lot of resentment between Greece and its richer eurozone partners, especially Germany. But not all Germans are fed up with the Greeks. Near Athens, one German is standing up for ...

BBC News

Hugo Dixon: After Robin Hood
Business Standard
Now the Netherlands has come out against it, so it can't even be applied across the whole euro zone. With Germany's finance minister saying that the “smallest thinkable unit” for the tax is theeuro zone, it is only a matter of time before the Robin ...

Economic Forecasters Have Been Too Sanguine On Eurozone
Forex Pros
By Sober Look | Forex | Mar 25, 2012 10:38AM GMT | Add a Comment WSJ: Spanish bonds extended a slide that was triggered earlier this month after the country was chided by euro-zoneauthorities over the government's unilateral decision to revise up its ...

Ireland dutifully gulped down the nasty medicine but is still in pain
The country has been the eurozone's poster child. It experienced a massive boom and then endured a huge bust. Irish national income dropped by about 17pc. Its public finances have been shot to pieces by a combination of recession and bank bailouts.


Trading Week Outlook: March 26 - March 30
Seeking Alpha
Despite of the jump to 22.3 from 5.4 in the German ZEW investor confidence index and the expected increase in the Ifo index to 109.8 in February from 109.6 in the previous month, the doubts that the Euro-zone economy will be able to avoid a double dip ...

Sanctions against Iran put cloud over global growth
Ahram Online
Oil prices hit a record high in euro terms earlier this month and analysts now believe they may have already dragged the eurozone into recession. New sanctions by the US and EU against Iran have ratcheted up tensions and the price of oil as traders ...

The global financial crisis: What caused the build-up? | vox ...
With all eyes currently on the latest twists being played out in the Eurozone, the global financial crisis, now in its fifth year, appears alive and well. But there is still little agreement on the underlying macroeconomic causes of the build-up of ...
VoxEU.org: Recent Articles

Karmel on IOSCO's Response to Financial Crisis - Law Professor ...
By Securites Lawprof
Like other international financial bodies, the International Organization of Securities Commissions (IOSCO) has responded to the financial crisis of 2008. IOSCO thus revised its Objectives and Principles and added eight new Principles, ...
Securities Law Prof Blog

Italy's Monti Worried About Contagion From Spain | iBC_FN ...
Italy's Monti Worried About Contagion From Spain. By CRONKITE – Sun Mar 25, 2012 8:03am – No Comments – 13 views. “Italian Prime Minister Mario Monti expressed concern about Spain's public finances on Saturday, and said it would not ...
iBC_FN | iBankCoin Financial News

John Conyer's Affirms Support for Principal Reduction on Mortgages ...
By Ken Gross
U.S. Congressman John Conyers, the featured guest on The Financial Crisis Talk Center on March 24, 2012 - which aired on Talk Radio 1270, affirmed his.
Financial Crisis Talk Center...

InfiniteBody: Financial crisis hits Europe's arts
By Eva Yaa Asantewaa
Fists, heels and songs. Reggie Wilson/Fist and Heel Performance Group performed TheRevisitation last week at New York Live Arts . To read my Dance Magazine revi... Jillian Peña: "Dance is the language I speak." I am a dancer, but I do not ...

Eurozone debt crisis: how Greece could exit the euro | ForexLive
By Gerry Davies
'As global companies draw up contingency plans for Greek exit from the euro, we examine the feasibility of Athens' departure - from new drachmas to illegality.

Eurozone split on boosting firewall | Pakistan Business News ...
Finland's Prime Minister Jyrki Katainen, pictured on March 2, has said Helsinki is sceptical about increasing the eurozone's rescue fund despite calls from the European Commission and the European Central Bank to prevent a worsening of ...
Pakistan Business News | Pakistan...

Mr Panos' New Video on Greek Crisis Is A Must See! | USA ...
By Anastasios Papapostolou
Mr. Panos, the Greek-American “expert” on everything this time goes on a foul-mouthed rant about naked German tourists and Turks while telling the real story behind the financial crisis in the eurozone and Greece. The video has already ...

Trichet Warns of "Behavioral Contagion" and Nontraditional Steps ...
Please consider Trichet warns of "behavioral contagion" Jean-Claude Trichet, the former president of the European Central Bank, said Saturday that he is worried that controversial quantitative easing and other nontraditional steps that global ...

Contagion Risk in Europe Is Back and Spain Is Top Worry - Europe ...
Among the euro zone periphery countries, Spain is creeping up again as the big, sick member of the area and a recent rise in Spanish bond yields is a sign that ...

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