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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: carranza2 who wrote (83190)	11/15/2011 6:38:54 PM
From: TobagoJack	Respond to of 218108

beats reading the news acting man updates: 'Rescue At All Costs' - The Rush Toward a European Super-State Is On The comments by euro area leaders on the debt crisis lately become ever more hysterical. This is probably a sign of stress taking its toll. For instance, Mrs. Merkel says this is the 'darkest hour since WW2'. Really? A debt crisis is comparable to the devastation of war? Discussing the next steps to be taken with her political base, Merkel announces that the move toward a 'European fiscal and ultimately political union' must now begin. This is precisely the wrong path to take, as the loss of subsidiarity will do away with all competition between member nations of the EU. For citizens of the bloc this would mean they can no longer vote with their feet, a dreadful prospect. Meanwhile, German finance minister Schäuble explains to his colleagues why the ECB's buying of government bonds in the secondary market is not a violation of its statutes. Taken together with the appointment of the more pliable and 'pragmatic' Jörg Asmussen as the ECB's new chief economist this seems to be a hint that the way is being paved for the ECB to open the spigots. acting-man.com No Let-Up in the Debt Crisis Economic news and market data from Europe continue to be grim - and the debt crisis is still moving from one country to the next. Just as Italy's bond yields have moved down a little from the 'danger zone', Spain's yields are moving back toward it at a fast clip. It appears that as soon as the ECB neglects to intervene in a bond market, it immediately sells off again. Meanwhile several of the CEE countries are also being drawn into the crisis, as banks across Europe are trying to delever and posting huge losses, with Italy's Unicredito the latest example. Some hedge funds are rumored to have been buyers of Italian debt on the idea that 'things have gone too far', but industrial output falls sharply across the euro area, with Italy hit especially hard. It will therefore be difficult to meet the deficit targets. Meanwhile, the EU's finanial markets commissar Michel Barnier, who has previously supported curtailment of the CDS market and bans on short selling, now wants to ban credit ratings of fiscally challenged countries in Europe. If this crazy plan is adopted, it will only worsen the situation, as uncertainty is bound to increase further. Includes chart update. acting-man.com