FRANKFURT/ PARIS, Oct 20- The European Central Bank has started buying covered bonds, an ECB spokesman said on Monday, opening a new front in its battle to revive the euro zone economy and keep deflation at bay. Shares in euro zone banks outperformed, with Banco Santander up 0.9 percent, Societe Generale up 0.8 percent and UniCredit up 1.6 percent.» Read More
A mood of resignation pervaded the crowd outside the Greek parliament building on Thursday, after lawmakers passed far-reaching three-year budget cuts to deal with Greece’s teetering economy.
The European Union and the I.M.F. have yet to show the flexibility, political courage and teamwork needed to solve its debt crisis, the New York Times reports.
Investments in debt-stricken Europe are “undervalued,” “unloved” and “now oversold,” Barton Biggs, the managing partner at Traxis Partners hedge fund, told CNBC Wednesday.
The European debt crisis likely will not end until the euro collapses as a currency and takes the entire European Union with it, said hedge fund manager Dennis Gartman.
Prudential shareholders may grudgingly acknowledge that the pursuit of exciting new opportunities in Asia is the right long term strategy. But in the short term they need convincing the big price tag for AIA and the delayed rights issue are the correct way of achieving that.
The correction in stock markets has already started, Philippe Gijsels, head of research at BNP Paribas Fortis Global Markets, told CNBC Wednesday.
The market is already beginning to ask if the German public and the EU have the stomach for a rescue package for Portugal, Spain, Ireland and even for Italy.
Financial regulations could significantly influence UBS' profitability in both the near and long term and they will constrain the Swiss bank from resuming dividend payments, CFO John Cryan told CNBC Tuesday.
For now, Greece has been saved but at what cost? The sums involved are staggering and could have been much lower if the euro zone's governments had appreciated the size and scale of the problem earlier and learned the lessons of history.
Despite yields on Greek debt falling after the bailout deal, analysts and investors warn that there are still pitfalls that could threaten the single European currency.
More than three quarters of business leaders think that a hung parliament will be bad for the UK economy, a survey commissioned by CNBC showed Tuesday.
Hesse Prime Minister Roland Koch said Monday he sees no danger that the Greek bailout could be stopped by constitutional challenge.
European officials are finally getting spurred into action by the danger of contagion and sources in the City say Greek debt is a screaming buy.
Had Frau Merkel listened to Herr Schaeuble from the beginning, a lot of time and money would have been saved.
The growing sovereign debt crisis that started in Greece is just one of three potential "derailers" of the global economic recovery, Harry Samuel, global co-head of fixed income and currencies and head of global Treasury services at RBC Capital Markets, told CNBC Thursday.
Europe's current bailout plan for Greece "is not going to work" because "Greece is nearly insolvent," well-known economist Nouriel Roubini told CNBC Wednesday.
A lack of competitiveness, not credit default swaps (CDS), brought Greece to the brink of financial catastrophe, former Greek Finance Minister Yannos Papantoniou told CNBC.com Wednesday.
The market reaction to the debt crisis in Greece and the euro zone has spooked investors across the world and led to heavy selling of stocks. But is the crisis actually impacting real businesses, given Greece makes up only two percent of euro zone gross domestic product?
Germany's reticence to come to the rescue of the Greek government has been widely criticised across the euro zone.
Whispers of contagion are sending a chill through bond markets, while the euro is likely to fall further and things don't look pretty for stocks. Smart money is likely to go into gold.
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