France has a special responsibility as a euro zone heavyweight to take deficit cuts seriously, even though its budget deficit is above target, Bundesbank chief Jens Weidmann said in an interview published Sunday.» Read More
Current efforts to reform financial regulation are “cosmetic” and won’t prevent another crisis, economist Nouriel Roubini said Tuesday.
As the Flash Crash in U.S. equity markets May 6 illustrated, problems in Greece can have grave consequences for not merely other Mediterranean economies and Europe, but U.S. and the broader global economy.
The stock markets' March 2009 lows could be tested and even broken as sovereign debt continues to grow in Europe and stimulus measures wane, Philippe Gijsels, head of research at BNP Paribas Fortis global markets, told CNBC.com Tuesday.
European finance ministers meet in Brussels Tuesday and much of the talk will focus on how the sinners can be punished.
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After a brief respite following the announcement last week of a nearly $1 trillion bailout plan for Europe, fear in the financial markets is building again, this time over worries that the Continent’s biggest banks face strains that will hobble European economies, the New York Times reported.
Banknote wholesalers will no longer supply the 500 euro note in the UK as part of measures to prevent money laundering, the Serious Organized Crime Agency (SOCA) announced Thursday on its Web site.
The European Central Bank's decision to buy government bonds in the secondary markets will likely stop speculators, but it may push the euro down by more than 10 percent.
Last Thursday’s intraday volatility, which saw the Dow plummeting nearly 1000 points, has left European investors tentative about Wall Street, according to market participants.
The great recovery is an illusion, and the banking crisis is likely to be very costly for the world economy, according to economist Jamie Dannhauser at Lombard Street Research.
Weeks of hesitant half-steps to address Greece’s debt problems had only worsened market worries about the euro, and were threatening the still-fragile economic recoveries in the United States and Asia. In response, President Obama told Mrs. Merkel that the Europeans needed an overwhelming financial rescue to end speculation that the euro — and European unity — could crumble. The NYT reports.
What the European leaders really meant to do with their big-bang, trillion-dollar sovereign-debt rescue was to save the euro currency, not to bury it. But with the cave in by European Central Bank head Jean-Claude Trichet (formerly a hard-money man and closet gold watcher) to use the "nuclear option" to buy up dubious sovereign debt, the euro is likely to keep depreciating.
If the support package put smiles back on the faces of the politicians, it did little to lift the mood of the business people gathered at the WEF meeting in Brussels.
The unprecedented action by European politicians and bankers has led to a massive sigh of relief from investors, because the ECB is promising to buy European government debt—in the open market—for the first time ever.
Recall that many global markets and several sectors hit highs in April - before accumulating losses through Friday's trading.
The expected surge in share prices this morning is accompanied by sighs of relief and breathless anticipation of new highs. THIS IS NOT RESILIENCE! This is the effect of a trillion dollar injection. It represents new debt and commitments to support governments that have not lived within their means.
The EU's 500 billion-euro crisis fund will provide 'immediate relief'; however, austerity measures attached to the bailout will harm the growth prospects of the Eurozone, said Beat Lenherr, chief global strategist at LGT Capital Management.
It was pretty wild out there. But instead of chalking this up as simply panic in the market, we should see it as a huge wake up call. All is not well.
For the market to plunge 1000 or so points and then rebound a good bit of the way back is rattling.
Despite Thursday's unexplained surge in selling that drove the Dow down 900 points, the stock markets are being driven lower by fears over the global economy and the debt crisis spreading, economist Nouriel Roubini, of RGE Monitor, told CNBC Friday.