"They have a huge informal economy. Informal economies don't pay taxes but people eventually show up as they get older looking for pension and looking for health care," Edward Hugh, nicknamed "Europe's prophet of doom," told CNBC.
Wall Street will be closely watching the results of the European bank stress tests on Friday even as the deluge of earnings continue.
Friday at noon, New York time, 91 banks in Europe will reveal how strong they would be if the region went back into recession over the next two years and the sovereign debt they hold plunged in value.
Fresh economic data Thursday could feed the market's phobia about a weaker economy, ahead of another round of testimony from Fed Chairman Ben Bernanke.
Stocks were lower on Wednesday amid weakness in techs and retailers. Barry Knapp, head of US portfolio strategy at Barclays, shared his market outlook.
Apple proved once more its iProducts make for a powerful earnings machine, but that may not add much juice to tech shares Wednesday.
The financial crisis might have sapped Europe's growth for a long time, and there are fears that the slowdown is permanent, Polish central bank governor Marek Belka told TVN CNBC Tuesday.
Whereas critics of the US bank stress tests complained that there were too many details, the concern about European tests is that there are too few.
IBM's disappointing second quarter results will compete with a barrage of corporate earnings reports ahead of Tuesday's opening bell.
The currency’s resurgence is good news for these companies. Luckily for investors, the analysts haven’t yet caught on.
The market is set for a strong earnings season with corporate guidance giving a clear indication that surprises will be on the upside, according to Saxo Bank.
After news of the Goldman settlement swept away a wave of uncertainties, focus on Friday will return to economic data and earnings from Citigroup, Bank of America and General Electric.
These problems needed to be solved before investors could trust a move higher, Cramer said.
The dollar index was down more than 1 percent, and the dollar was falling against the euro, yen and sterling. Improving news out of Europe and a short squeeze are also combining to drive the euro more than a percent higher against the greenback, towards its highest levels since early May.
Recent data underscores what should be obvious by now: that this recovery will be three steps forward and two steps back.
We believe the Fed has a much firmer appreciation of the risks than the Japanese ever did. We believe that the Federal Reserve is fully engaged and is more concerned about the threat of deflation than inflation.
This will still be a sunny summer for stocks, according to the chief investment officer of Swiss private bank Sarasin, Burkhard Varnholt.
Earnings releases from J.P. Morgan and Google book end the trading day Thursday and could provide some more juice to the market's earnings rally.
David Bloom is the global head of foreign exchange strategy at HSBC and earlier this year found himself going against the trend when the euro went into freefall. With other houses predicting parity for euro-dollar, Bloom refused to follow.
The global markets on a distinct three month pattern that begins with earnings and ends with policy makers. As a purveyor and observer of newsflow, there appears to be a distinct pattern to our investment world right now. Not surprisingly, it is a quarterly time frame.