European Central Bank (ECB) president
Mario Draghi says that eurozone leaders must decide what they want the bloc to
look like in the future, because the current set-up is "unsustainable". He said
that the ECB could not "fill the vacuum" left by governments on creating growth
or structural reforms. EU economics commissioner Olli Rehn said more austerity
was needed if the eurozone was to avoid disintegration. New figures showed
eurozone inflation slowed more than expected this month. Inflation in the 17
countries that use the euro eased to 2.4% in May from 2.6% in April. The figure
is still above the ECB's target to keep inflation below 2%, but the
lower-than-expected number could fuel calls for an interest rate cut next week.
Worries over the eurozone debt crisis - and in particular Spain's banking
sector - have been hitting markets all week. However, the markets were enjoying
a respite on Thursday. The euro - which had fallen to near two-year lows against
the dollar at $1.2358 - recovered slightly to $1.2410. European stock markets
were mostly positive, with London's FTSE 100 share index up 0.8%, and the
Frankfurt and Paris indexes registering similar gains. The pressure on bond
yields also eased slightly, with Spain's 10-year bond yield - the rate of return
demanded by investors - falling back to 6.61%, having reached 6.79% on
Wednesday. In other figures released on Thursday, Germany's unemployment rate
fell below 7% as Europe's biggest economy continued to perform strongly. The
jobless rate dropped to 6.7% in May, from 7% in April, as the number of people
unemployed fell by 108,000 to 2.86 million. However, there was more bad news
from Greece as figures showed that Greek retail sales volumes fell by 16.2% in
March compared with a year earlier. This followed February's decline of 12.9%.
Angela Merkel says Europe should be ready to consider all
options to stop the debt crisis - but wouldn't comment on a banking union in the
eurozone. She said member states should be ready to hand over more powers to the
EC: There are integration steps which will require treaty changes. We are
not at that stage today but nevertheless there are no taboos. I have always said
we need more Europe and that means eventually giving more competences to the
European Commission. We have to think about how we move forward over the
next five to ten-year horizon. And if we are constantly coming up with new
taboos, it won't work. An odd move here from Bankia. In an
attempt to hang on to deposits it's offering a free Spiderman towel to young
savers if they can put away €300 by the end of the month. There were reports of
a bank run earlier in the month after the state takeover of the lender was
announced.
WELL....The simple truth is that European Nations face solvency issues thanks to structural deficits, which means the ECB is broke. The EFSF has never been adequately funded, nor can the IMF come up with enough money to bail out every bank in Europe, therefore, eventually, the currency will be abandoned. The Euro exists currently only because of US Currency backstops. By the same token, here in the US, sooner or later bond clamping will fail, and cuts will be occurring here as well. The only thing that remains up in the air is the timing, not the eventuality....BBC is reporting that the head of the European Central Bank, Mario Draghi, declared the Eurozone is "... unsustainable..." and that the ECB cannot ..."fill the vacuum..." left by the failure of Eurozone to take necessary action on austerity and structural reforms.
WELL....The simple truth is that European Nations face solvency issues thanks to structural deficits, which means the ECB is broke. The EFSF has never been adequately funded, nor can the IMF come up with enough money to bail out every bank in Europe, therefore, eventually, the currency will be abandoned. The Euro exists currently only because of US Currency backstops. By the same token, here in the US, sooner or later bond clamping will fail, and cuts will be occurring here as well. The only thing that remains up in the air is the timing, not the eventuality....BBC is reporting that the head of the European Central Bank, Mario Draghi, declared the Eurozone is "... unsustainable..." and that the ECB cannot ..."fill the vacuum..." left by the failure of Eurozone to take necessary action on austerity and structural reforms.
6 comments:
Euro facing disintegration, Commission warns
Commissioner criticised national leaders for a “lack of action” to help the single currency out of its crisis.
Ireland is the only country holding a popular vote on a treaty drawn up in response to the European debt crisis to enshrine the euro’s fiscal rules to limit government spending into national law.
The Irish government warned that a No vote would lead to a Greek-style banking run, a tripling of Ireland’s borrowing costs and would plunge the country into bankruptcy by 2014.
In the early hours of Friday morning, despite a low turnout, that traditionally benefits No campaigners in Irish EU referendums, a government exit poll reported a “a 'Yes' by more than a 60/40 per cent margin”.
The Yes campaign, supported by the government, mainstream political parties, trade unions and business, was confident of victory but many people supported the fiscal treaty with deep reservations after a lack lustre and bad-tempered campaign.
Conor McAleavey, a Yes voter casting his ballot at St Enda’s polling station in Dublin, said that, like many other middle-class Irish people, his support for the fiscal pact was grudging. “It’s a big, fat reluctant Yes,” he said
Not surprising really, the irish have lost the desire for independence they should have as a nation state after their years of struggle.
Very, very sad.
Fabrication masquerading as reportage:
1. Misrepresenting pre-poll research of voter intentions as secret exit polling .
2. "The Irish government warned that a No vote would lead to a Greek-style banking run, a tripling of Ireland’s borrowing costs and would plunge the country into bankruptcy by 2014."
Not to deny scaremongering, but as others have stated, this specifically is simply untrue, it never happened . An accusation made by unspecified government critics that Waterfield has twisted as coming directly from the mouth of Government itself - " lifted" (and contorted) from here:
"Campaigners against the eurozone treaty have accused the government of scare tactics, including claims that a No vote would lead to a Greek-style banking collapse, cause a tripling of the country's borrowing costs and plunge the country into national bankruptcy by 2014".
http://www.forexpros.com/analy...
3. Carol Hunt is an opinion columnist/journalist - not simply a "Dublin voter".
Tendentious, shoddy and grossly misleading "news reporting".
The fate of 27 European states and the single currency lies in the hands of less than half the Irish electorate after what appears to have been a historically low turnout in Ireland's referendum on the EU fiscal treaty.
After polling stations closed at 10pm, turnout in Dublin was estimated at 38%, but some of the north-western counties averaged as low as 20%. In the Cork area turnout was also described as slow through the day, but it picked up to more than 30% in the evening. The overall turnout is estimated to be close to 50% – one of the lowest in Irish history.
Counting of the ballot papers was due to start at 9am on Friday and there were fears among the yes camp that the low turnout would boost the no side. Persistent rain throughout the day was also blamed for keeping voters at home.
Anti-European voters in Ireland are more inclined to go out to polling stations as evidenced by past referenda on EU treaties
On the streets of central Dublin, the final hours of the campaign became acrimonious. The pro-Europe Labour party erected posters directly facing Sinn Féin's national headquarters reminding voters that the party of Gerry Adams and Martin McGuinness had voted for the bailout of Ireland's debt-laden banks in the autumn of 2010. Sinn Féin meanwhile used the campaign to raise its national profile and its standing in the opinion polls, where it has risen to second place.
Post a Comment