The International Monetary Fund (IMF) should resist pressure from European Union leaders to take part in inadequate bailout programs for European countries, Mohamed El-Erian wrote in the Financial Times.
Greek tax officials walked off the job Thursday at the start of a 48-hour strike to protest salary cuts and other austerity measures, as the government struggles to meet revenue targets.
U.S. futures are up the last trading day before Christmas and a day after the House agrees to accept Senate terms on the payroll tax cut. In Europe, the markets rally into the holidays. The euro is slightly up against the dollar.
What does 2012 hold for the world economy? Will it fall into a double dip recession? Will the euro zone take us all down with it? While acknowledging that predicting what will happen next year is a dangerous business, economist and founder of Strategy Economics Matthew Lynn decided to try anyway.
What were the biggest business stories of the year? Many a journo-hotshot will be glad to tell you. But here at CNBC.com, we like when our readers tell us what interests you.
For investors the markets have been consistently grim all year and the issues we’ve discussed from start to finish – sluggish economic growth, high and rising unemployment, sovereign debt crises and the future of the euro – are still with us and will haunt us well into 2012.
A break-up of the euro would be “absurd” and “unthinkable,” Vítor Constâncio, Vice-President of the European Central Bank (ECB), told CNBC Tuesday.
Mario Draghi warned of the costs of a euro zone break-up, breaching a taboo for a president of the European Central Bank, in an interview with the Financial Times.
The governor of France’s central bank has said Britain is more deserving of losing its top-notch credit rating than France as Paris braces itself for a potential downgrade of the country’s triple A status.
U.S. futures are up following yesterday's gains. European shares rise, led by mining stocks. Fitch downgrades Goldman Sachs, Deutsche Bank, Credit Suisse, BNP Paribas and Barclays. The euro is off its 11-month low. Italian PM Monti faces a confidence vote on a 33 billion euro austerity package. And gold rebounds while crude stays steady. In Asia, better-than-expected U.S. economic data lifts the markets in a mixed session.
Good U.S. news is positive for the market, but fears about Europe can still bring it down, Cramer says.
European markets rebound, although euro zone concerns remain. Manufacturing data continues to contract. Meanwhile, Spain finds strong demand for bonds even as yields on the 5-year fall. And the euro hits an 11-month low against the dollar.
As the truth dawns in Greece and other weak euro zone economies that the price for remaining bound to the single currency will be more hardship and sacrifice, a growing number of legal and financial experts — to say nothing of the Greeks themselves — are examining in detail what would happen if Greece abandoned the euro. The NYT reports.
What is needed is an agreement, and then an undertaking, to make the euro work. This needs a centralized budgetary authority, which has control over the debt issuance process as well, to ensure that governments do not run up unsustainable public deficits. Tie that into a genuine lender of last resort role for the European Central Bank and we are almost there.
While most have dubbed the products of the European Union Summit as further ‘kicking the can down the road,’ I believe the outcome portends the end of the Euro currency as we now know it.
As a New York Jets fan, I despair of all the talk about the New England Patriots. I desperately want to wish the Patriots away, but I cannot. They matter. When it comes to Europe, investors around the world also face this exasperating combination of having, but not wishing to pay close attention.
CNBC's Mandy Drury looks at the upward move in the U.S. markets, partially due to the EU agreement. And lower gas prices bring about a rise in consumer confidence.
The surveillance images show Dominique Strauss-Kahn striding from an elevator at the Sofitel New York and also captured on tape, some curious images: two hotel workers appear to share a brief celebratory embrace and dance, the New York Times reports.
Another week, another euro zone crisis! It feels as if this crisis is never ending, self perpetuating until an eventual Armageddon that will at the very best end with the break-up of the euro zone and at the very worst in World War III.
British Prime Minister David Cameron is facing criticisms of leaving the UK isolated after he said he would not agree to a new European Union treaty.