Euro-crisis
A generation of Cypriots are about to be badly hurt. It’s all unravelling – badly.
This picture is from a website for Cypriot homes: you can buy a three bedroom apartment for £1.6mn. Whoever owns that — property developer or individual and whichever bank lent… Continue reading
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Italian elections: ‘The worst possible outcome’
Forget Moody’s. If you want to see market panic, just look at Italy. As Isabel reported this morning, the unexpectedly strong performance of Beppe Grillo’s anti-establishment party, the Five Star… Continue reading
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Mario Monti resigns
Following the passing of his budget, Mario Monti has quit as Italian Prime Minister. At the moment, it remains unclear whether he’ll continue to lead the government until elections next… Continue reading
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Draghi makes good on his promise: but will it save the euro?
David Cameron and François Hollande met this evening. As you would expect, they discussed the situation in the eurozone, which is currently looking a little more cheery than usual after… Continue reading
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All will and no way for the eurozone crisis
Mario Draghi’s announcement yesterday that the ECB would ‘do whatever it takes’ to preserve the euro certainly cheered markets up – but only for a while. Interest rates for Spanish… Continue reading
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Bandaging up the eurozone’s wounds
The approach of eurozone leaders to the crisis in their region has so far been a piecemeal, sticking plaster approach. But this morning, calls are growing for big and effective… Continue reading
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Spain and Italy present a bigger terror for the Eurozone
MPs have been amusing themselves with a rather grim game in which they guess what event will lead to Parliament being recalled in August. Over the last few days, the… Continue reading
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The euro sticking plaster peels off
The sticking plaster is peeling off again. Spanish bond yields have again breached 7 per cent this morning. That 10 year gilts are back over this level is yet another… Continue reading
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The Summer of the PIGS
Suddenly, unexpectedly, this is becoming the Summer of the PIGS. The balance of power inside the EU has shifted with Francois Hollande’s election victory. Now the bone idle and impecunious… Continue reading
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Banging on about Europe
It’s funny how things turn out. David Cameron said in opposition that there was nothing worse than the Conservative party banging-on about Europe. These days, it bangs-on about little else.… Continue reading
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Europe’s illusory deal
After Merkel’s decision to allow Eurozone funds to be used to bail out Spanish and Italian banks, the press tomorrow may declare – yet again – that some kind of… Continue reading
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Angela’s anguish on ESM vote
This all feels rather miserably familiar. Eurozone leaders come to a dawn agreement about resolving the crisis. Markets react positively. The leaders appear on podiums to congratulate one another and… Continue reading
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Italy and Spain put Merkel in the corner
It took them 13 hours, but eurozone leaders have finally agreed to use bailout funds to recapitalise banks directly. The deal, which was reached at 4am (David Cameron had gone… Continue reading
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Of technocrats and democrats
A former European leader was a guest at a private dinner in London recently. It was a polite and reverential occasion, but conversation grew lighter as Sauternes gave way to… Continue reading
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Greece’s troubles deepen
The Greek coalition was already a pretty shaky affair but the resignation of the finance minister before he’s even taken office weakens it even further. Vassilis Rapanos, who was the… Continue reading
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Broken down fiat
All currency is faith. When the noble barman at the local pours a pint in exchange for your £5 note, he does so in the faith that the little blue… Continue reading
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Cameron plays his part in an eventful G20
And there we were thinking that the G20 would be another insipid talking shop. In fact there was intrigue, animus and even a modicum of progress on the crucial question… Continue reading
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The pernicious myth of powerlessness
‘Corruption,’ wrote Edward Gibbon in his peerless Decline and Fall of the Roman Empire, is ‘the most infallible symptom of constitutional liberty.’ I was reminded of this phrase when thinking… Continue reading
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A turning point in Greece? Think again
Things in Greece could have been worse after yesterday’s election, but that fact can’t be hailed as a ‘turning point’. Assuming that Greek political leaders form a coalition and push… Continue reading
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Boris beats two loud drums
Boris Johnson’s interventions today are another reminder of his ability to please the Tory tribe, and be a thorn in Cameron’s side. The prime minister has concluded that the best… Continue reading
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