Can they make it? Amid reports of intense disagreements, European Union leaders are now out of time for their EU Summit meeting tomorrow, after which German Chancellor Angela Merkel said they would present a coherent plan for dealing with the euro zone crisis. There were reports that began surfacing yesterday that disagreements were so intense it was possible it could be put off again. The EU Finance Ministers meeting scheduled for Wednesday has reportedly been postponed.
As European leaders ready themselves for another summit on the euro zone crisis, one economist said that the critical situation in Greece should be dealt with by focusing on growth instead of debt.
The countries that will have the most success in weakening the real value of their currencies "are likely to flourish better or at least suffer less than others," author Andrew Smithers wrote.
It appears that European Union leaders are still attempting to build a "firewall" around Italy and Spain by somehow transforming the European Financial Stability Facility into a bond insurer.
The market for luxury goods has come back with a bang in the past couple of years, despite volatility elsewhere in the market.
The real economy is being harmed by the lack of resolution to the euro zone debt crisis, as consumers put off big ticket purchases while waiting for a decision, a fund manager told CNBC on Monday.To help solve Europe's sovereign debt crisis, a special organization was set up in 2010 called the European Financial Stability Facility, or EFSF. So what is it and how does it work? CNBC explains. The European Central Bank—or ECB—is the central bank for Europe's single currency, the euro. Managing the euro and the countries that use it is a big task, as CNBC explains.
The euro is a credible currency, and the euro zone as a whole has better economic fundamentals than the U.S. and Japan, Jean-Claude Trichet, the outgoing European Central Bank President, told TVN-CNBC in an interview Friday.
"We're in a situation, if you were scripting a disaster movie, you really couldn't build the tension better," one analyst told CNBC.
The European Central Bank tapped a foreign exchange swap facility with the Federal Reserve earlier this month, borrowing $500 million. In exchange, the ECB puts up collateral of Euros worth slightly more than $500 million. The ECB wants the dollars so it can lend them out to European banks, which have been having trouble borrowing dollars at affordable rates due to fears about their financial health.
Greek lawmakers have passed a deeply resented austerity bill that has led to violent protests on the streets of Athens, despite some dissent from one Socialist lawmaker.
"There is such an ingrained negative mood internally in the U.S. about itself," Goldman Sachs Asset Management Chairman Jim O'Neill told CNBC Thursday. "People now seem to be convinced that Europe is going to drag the U.S. down. That might happen, but there is a strong likelihood that it won’t."
The European Central Bank—or ECB—is the central bank for Europe's single currency, the euro. Managing the euro and the countries that use it is a big task, as CNBC explains.
Former British Prime Minister Gordon Brown has called on the United States to show leadership on the global economic recovery at the next G20 Summit to be held in Nice, France next month.
The euro zone's rescue fund, the European Financial Stability Facility (EFSF), will be allowed to buy bonds in the secondary markets, according to a document setting guidelines for the fund seen by Reuters correspondents.
Markets across Europe fell Thursday morning as negative sentiment about the European Union summit on Sunday spread.
The existence of a crisis for the euro has almost become accepted fact of life in the past few months, with some of the countries in the euro zone struggling with high levels of sovereign debt and the future of the single currency itself questioned.
Greece will default, U.S. economist Martin Feldstein told CNBC Wednesday, and it might be good for the country to leave the European Union.
Demonstrators on Wednesday threw stones and gasoline bombs at police outside parliament during a two-day general strike that unions described as the largest in years.
Tens of thousands of protesters rallied in front of the Greek parliament on Wednesday and there were isolated outbreaks of violence as a general strike shut down much of the country ahead of a vote on a painful new round of austerity measures.
Markets seem to be increasingly optimistic that Sunday's European Union summit will help provide some sort of resolution to the euro zone's well-documented problems.To help solve Europe's sovereign debt crisis, a special organization was set up in 2010 called the European Financial Stability Facility, or EFSF. So what is it and how does it work? CNBC explains.