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Tuesday, April 10, 2012

Euro crisis far from solved

Euro crisis far from solved
Sydney Morning Herald
Sascha Opel from Orsus Consult expects Beijing to boost its holdings by ''several thousand tonnes'' over the next five years to match America's 8000 and the eurozone's 11000. We do not know whether China suffered a 75 per cent haircut on Greek bonds ... 

A growth agenda for the eurozone
Financial Times
It had been a deceptively mild end to the winter for the eurozone's economy. Bountiful showers of money from the European Central Bank helped to lower yields on Spanish and Italian bonds. Equity markets were temporarily soothed and some commentators ...

Euro Zone Breakup Fears Causing Deposit Flight From PIIGS Nations
International Business Times
By Hao Li: Subscribe to Hao's RSS feed Fears of a partial breakup of the euro zoneare already causing deposit flight from banks in Portugal, Italy, Ireland, Greece and Spain -- sometimes collectively known as PIIGS -- said Jens Nordvig, ...

International Business Times

Another SEC Rule That Helped Cause Financial Crisis
By CNBC 04/09/12 - 03:32 PM EDT By John Carney, Senior Editor, CNBC.com NEW YORK (CNBC) --As you may have noticed, we specialize in examining the regulatory roots of thefinancial crisis around here. A lot of people--including the government's ...

Major banks say eurozone should ease austerity
Financial Post
The Institute of International Finance, which played a central role in the restructuring of Greece's debt, also assailed a eurozone firewall — designed to stop marketcontagion — as still inadequate and called for it to be expanded as soon as possible.

Financial Post

IIF suggests less EuroZone austerity and stronger firewall
Agenzia Giornalistica Italia
The spending curb enacted by EuroZone members "has already contributed to a strong contraction in internal EuroZone demand." Dallara added "it is important that members go beyond budget discipline, shifting the focus from nominal to structural deficit.

Superyacht owners turn to arson to get through austerity - Telegraph: "We've had riots, political upheaval and market volatility. Now the eurozone debt crisis is forcing millionaires in hard-hit European countries to ditch their luxury yachts in suspicious circumstances. . . . "

Israeli banks reduce PIIGS exposure
At the end of 2011, Israeli banks' direct exposure to the PIIGS was down 15% from the end of the preceding quarter. Israeli banks continue to reduce their exposure to the PIIGS countries as theEuro zone crisis spreads from Greece and Portugal to Spain ...

Eurozone: Time to help Greece on its way out?
New Europe
All Eurozone countries with sovereign debt problems like Portugal, Ireland and also Spain and Italy are expected to apply the same principles in order to increase competitiveness. However, the test case of the entire operation to counter the Eurozone's ...

Euro-zone woes drive professionals to Germany
FRANKFURT - "I was at the top of my career, earning well, and now I'm back at the bottom," says Ms Elena Nunez-Arenas, one of thousands from debt-wracked euro-zone countries seeking work in Germany, Europe's powerhouse. The 44-year-old from Madrid is a ...


IIF Banks Group: Capital Rules Need Tweaking For Effective ECB Action
WASHINGTON -(Dow Jones)- Global capital standards need tweaking for European Central Bank actions to effectively boost demand in the euro zone, the Institute of International Finance said Monday. Rules requiring banks to bolster their capital buffers ...

Portugal's domestic banks tap ECB for record amounts of funding
The Guardian
The reliance of eurozone banks on the European Central Bank was demonstrated on Monday when Portugal revealed that its domestic banks were tapping the central bank for record amounts of funding. The Bank of Portugal said the use by domestic banks for ...

The Guardian

European Firms Turn to Bonds for Cash
Wall Street Journal
... that the sovereign-debt crisis is remaking the European financial landscape, companies in the region borrowed more from the bond market than from banks in the first quarter, accentuating a shift that began with the onset of the financial crisis.

Cyprus Church wants to invest in energy sector
Huffington Post
Eurozone member Cyprus is relying on a (EURO)2.5 billion ($3.27 billion) low-interest loan from Russia to see it through this year after a string of credit rating downgrades have left it unable to borrow from international markets.

Exiting Euro Could Spark Greek Revival, Doom Germany: HSBC's King
International Business Times
By Hao Li: Subscribe to Hao's RSS feed Exiting the euro zone could spark economic revival in Greece and doom the currency union, said Stephen King, group chief economist at HSBC. King, while countering conventional wisdom that kicking Greece out will ...

International Business Times

Even eurozone countries are asking themselves why
Financial Times
Sir, Paul Mortimer-Lee (Letters, April 4) thinks that Arnab Das and Nouriel Roubini (Comment, April 2) “don't fully grasp why the eurozone countries got married in the first place”. Eurozonemembers' whirlwind courtship took place amid the heady ...

Interest Rates & Stock Index
Inside Futures
by CRB Research Team of Commodity Research Bureau The S&P 500 index climbed to a fresh 3-3/4 year high Monday but then retreated on revived Eurozone debt contagion and bearish FOMC minutes. Bearish factors include (1) Spanish debt concerns after ...

IIF Urges Bigger EU Firewall, Coverage Of Finance Gaps
Wall Street Journal (India)
"Euro-zone leaders missed an opportunity, in our view, to bolster further the scale of the resources," IIF Managing Director Charles Dallara told reporters in a conference. Also, if Greece, Ireland and Portugal show steady commitment to improve the ...

Portugal Banks' Borrowing From ECB Hits High
Wall Street Journal
Seven individual central banks in the euro zone, including Portugal's, received approval from the ECB in February to expand the type of assets banks can pledge to tap loans. For Portugal, that includes residential mortgages and other unsecured consumer ...

Greece to return to growth in 2014: German ECB official
The Bank of Greece estimates the economy will shrink 4.5 percent this year, the fifth the eurozone member state has spent in recession after the collapse of its public finances forced Athens to seek a 2010 bailout from the EU and International Monetary ...


Spain heads to financial crisis, possible rescue in 2013
Business Recorder (blog)
RAPEOIL Dutch/EU: euro tonne fob ex-mill May 2011/July 2011 1025.00 +0.00 August 2011/October 2011 975.00 +5.00 November 2011/January 2012 980.00 +5.00 February 2012/April 2012 990.00 +10.00. SUNOIL EU: dollars tonne ex-tank six ports option May ...

Brace yourself: five to 10 years before fiscal crisis
San Francisco Chronicle (blog)
Johnson is the no-longer-popular economist who has argued that the post-financial-crisis banks are now bigger than too-big-to-fail. Now he's predicting not only another financial crisis, but a fiscal crisis when interest rates go up, as they inevitably ...

San Francisco Chronicle (blog)

IIF Calls for Larger EMU Firewall; ECB LTROs 'Insufficient'
MNI News
By Chris Cermak WASHINGTON (MNI) - Eurozone policymakers must immediately expand the resources in its firewall against sovereign debt contagion, the International Institute of Finance said Monday, calling the Eurogroup's decision last month to keep ...

The Fire Next Time: The Euro Financial Crisis - Austerity a Recipe for Depression
Tucson Citizen
by AZ BlueMeanie on Apr. 09, 2012, under Blog For Arizona I have been doing a series of posts on The Fire Next Time: The Euro Financial Crisis, warning of the "other shoe" to drop following the American financial system meltdown in 2008.

Exports falter on Euro debt crisis
Daily Star Online
Exports grew at a slow pace at 0.15 percent to $1.99 billion in March from a month ago for the ongoing debt crisis in the Eurozone. The country's export figure has been showing a slow growth over the last few months due to a drop in demand for the main ...

Portuguese banks borrow record amount from ECB
The previous record of 49.1 billion euros came in August 2010 as the eurozonedebt crisis worsened after the EU and International Monetary Fund had to rescue Greece in May that year. The ECB began providing easy funding for the eurozonebanks as the ...


A German Europe?
Middle East North Africa Financial Network
(MENAFN - Jordan Times) Is the Europe that is emerging from the euro crisis a German one? During the euro crisis, power in the European Union seems to have shifted towards national capitals in general and towards one national capital in particular: ...

Dallara Says Too Much Austerity May Hurt Europe Recovery
Increasing the size and flexibility of crisis-fighting tools is “essential for reassuring markets that the euro area has the resources and commitment to assist member countries facing contagionrisks and difficulties in accessing capital markets,” ...

The Big Easing
The Guatemala Times
Its balance sheet amounts to roughly €2.8 trillion, or close to 30% of eurozone GDP, compared to the Fed's balance sheet of roughly 20% of US GDP. But there is a qualitative difference between the two that is more important than balance-sheet size: the ...

USD Rebounds Ahead Of Bernanke, Euro At Risk Of Bearish Breakdown
Indeed, a report by the Bank of Portugal showed commercial banks tapped a record EUR 56.3B from the European Central Bank, and the heightening risk for contagion may ultimately produce a bearish breakdown in the EURUSD as it threatens the range carried ...

But theirs was an arranged marriage
Financial Times
Sir, In response to Arnab Das and Nouriel Roubini's proposals for a eurozone divorce, Paul-Mortimer Lee puts forward five reasons to dispute their arguments and suggests that they have not fully grasped “why the eurozone countries got married in the ...

Financial Times

Early Warning: PIIGS Unemployment
By Stuart Staniford
The above shows the unemployment rate for the five "PIIGS" countries. The data (from Eurostat) begin in 2005 and run through Feb 2012 except for Greece which only goes to Dec 2011. None of these countries have put their troubles behind ...
Early Warning

Spain Will Exit The Eurozone First—This Year | CounterPsyOps
By thomasmantell
There has nominally been major changes in the European political situation since the GlobalFinancial Crisis of 2008—which in fact have proven to be minor: To wit, the Italian, Spanish, Irish, Portuguese and Greek governments have been ...

The euro crisis: Central European lessons « Mostly Economics
By Amol Agrawal
The economic and financial crisis that began in 2008 has demonstrated that the countries of central Europe do not have a common response. The euro crisis, with its explicit political stakes for the construction Europe in the future, reveals ...
Mostly Economics

Spain heads to financial crisis, possible rescue, in 2013 | DailyFT ...
By bandara
MADRID: Spain, sucked back into the centre of the eurozone debt crisis, is headed towards a financial crunch in 2013 that may force it to seek international help, analysts warn. Alarm has spread on the financial markets over Spain's rising ...
DailyFT - Be Empowered

Bank CEO and CFO Charged With Financial Fraud During The ...
By steve
s former chief executives have been charged by the SEC with being involved in a fraudulent scheme designed to conceal the deterioration of the bank's loan portfolio and inflate its reported earnings during the financial crisis. The SEC alleges ...
Financial Fraud Law

Europe may be heading back into debt storm | SaigonMoney.com ...
By admin
“The first quarter was exceptional for eurozone state borrowing,” said Jean-Francois Robin at France's Natixis bank. The first three months of the year are important as countries often try to meet a huge chunk of their annual borrowing needs at ...
SaigonMoney.com - The digital...

Why The ECB Expanded Its Balance Sheet By Over $1 Trillion In ...
By Graham Summers
Let's consider the PIIGS' exposure of German powerhouse Deutsche Bank (DB) widely considered to be one of the strongest banks in the EU. According to the Bank of International Settlements German bank exposure to Greece is only $3.9 ...
SeekingAlpha.com: Home Page

Rising food crisis and financial crisis in India: impact on women and ...
By AidNews
The objective of the study is to examine the impact of rising food prices and financial crisis on the impact of women and children in India. It identifies ...

CBS's 60 Minutes program on An Imperfect Union: Europe's Debt ...
By yanisv
Last month I was invited to participate in CBS's 60 Minutes piece on the euro crisis. First came a meeting with one of the program's producers, Coleman Cowan. Coleman explained that he had seen my Channel 4 mini documentary on the ...
Yanis Varoufakis

Property Investment Key to Economic Recovery, Says Rick Otton ...
With the UK on the edge of a financial crisis, Property Expert Rick Otton believes that creative investment opportunities can alleviate the effects of economic downturn, and eventually help with economic revival. (PRWEB) April 09, 2012. The UK ...
Virtual-Strategy Magazine - Your...

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