Global CFOs: U.S. has world’s only improving economy

 

The United States is the only major economy in the world to get an “improving” score in the latest CNBC survey of corporate executives.

The latest quarterly score marks the fifth quarter in a row that the economy under President Donald Trump has been viewed as “improving” in the CNBC Global CFO Council survey. Continue reading

All Euros Gravitate To Germany

https://www.zerohedge.com/sites/default/files/inline-images/2018-09-17_18-44-58.jpg?itok=KCnMgPzg

 

The Euro has been around for almost 20 years. The Russian transfer ruble survived 25 years. As GEFIRA explains, the two currencies have something in common: they were and are not a success story…

The introduction of the transfer ruble was intended to enable free trade between the countries of the Eastern bloc. The creation of the common clearing system led to the exchange rates for the East German mark, zloty, forint, lev, and even the Mongolian tugrik being arbitrarily fixed by the Soviet Union, regardless of the purchasing power of the national currencies. In the 1960s, the Bulgarian lev was 20% undervalued and the Polish zloty about 45% overvalued. Since the transfer ruble was not yet convertible into Western currencies, it remained an illusion and a means by which the Soviet Union could enrich itself and save its budget at the expense of its satellite states: the Russians bought raw materials, goods, food for convertible currencies in the West and sold them to their “socialist friends” for transfer rubels. The international bank for economic cooperation, which sat in Moscow and handled all transactions in the transfer ruble, swept the real trade surpluses and deficits under the carpet. With the political change the common settlement currency came to to an end, and it turned out that the Soviet Union owed huge sums to its “brothers”. Continue reading

Greece’s Bailout May Be Over, but Not Its Economic Woes

https://www.theepochtimes.com/assets/uploads/2016/04/05/GettyImages-481534578.jpg

A ripped off Greek national flag flutters in central Athens on July 22, 2015. (Louisa Gouliamaki/AFP/Getty Images)

 

Underlying obstacles to job creation and entrepreneurship remain

After eight years, Greece has finally exited bailout territory, and the European Union is making a strong case that the program was a success.

While Greece may have ended the bailout process, the underlying issues that wrecked its economy in the first place remain largely intact. Continue reading

Germany Has Made Over 3 Billion Profit From Greece’s Crisis Since 2010

Extorted, subjugated and conquered. Greece has been a German vassal state for years already.

 

https://www.zerohedge.com/sites/default/files/inline-images/griechenland-eu.jpeg

 

Germany has earned around 2.9 billion euros in profit from interest since the first bailout for Greece in 2010.

As KeepTalkingGreece reports, this is the official response of the Federal Government to a request submitted by the Green party in Berlin.

The profit was transmitted to the central Bundesbank and from there to the federal budget. Continue reading

Merkel Supports European Military Consolidation

https://www.thetrumpet.com/files/W1siZiIsIjIwMTgvMDYvMTEvOGM1cGpuM2d2Y18xODA2MTFfQnVuZGVzd2Vocl9HZXR0eUltYWdlc185NzAyNjA2NjguanBnIl1d/19e3aa474099df9e/180611-Bundeswehr-GettyImages-970260668.jpg

Infantry soldiers of the Bundeswehr, the German armed forces, take part in a reconassaince mission during Thunder Storm 2018 multinational NATO military exercises on June 7, 2018 near Pabrade, Lithuania. (Getty Images)

 

German chancellor voices approval for French president’s military integration proposal.

German Chancellor Angela Merkel declared on Sunday, June 3, that she held a “positive view” of French President Emmanuel Macron’s proposal for further European military integration.

Macron outlined his plan for a reformed eurozone in a September 2017 speech. He called for a European Union military intervention force with a budget agreed upon by the year 2020. He has been pushing for Germany to come on board with such a plan for a European military unity, stating, “Our ambitions cannot be realized alone. I have said it already several times, they need to be accompanied by Germany’s ambitions.” Continue reading

Italy’s populist parties reach new deal to form a government

https://www.telegraph.co.uk/content/dam/news/2018/05/14/TELEMMGLPICT000162900629_trans_NvBQzQNjv4BqNrzB8hrvgfJ5sESwMmBGZOCHfpH_fyW0CNqPxWGmNfw.jpeg?imwidth=1400

Luigi Di Maio of the Five Star Movement and Matteo Salvini of the Lega will both be ministers in the new government (Credit: Tiziana Fabi/AFP)

 

Italy’s populist parties were finally given the green light to form a coalition government on Thursday evening, after they backed down over their initial selection of a deeply eurosceptic economy minister.

After days of intensive negotiations and pressure from the markets, the anti-immigrant, hard-Right League party and the anti-establishment Five Star Movement agreed to a compromise.

Both parties had come close to forming a government at the weekend, only for their efforts to be torpedoed by President Sergio Mattarella, who refused to approve their controversial choice of Paolo Savona as economy minister.

Paolo Savona, 81, has called Italy’s adoption of the euro a “historic error”, describing the single currency as “a German cage” and calling for a “plan B” that would allow the country to exit the eurozone. Continue reading

Eurocracy

All roads continue to lead to Berlin, the powerhouse that runs and dictates Europe’s future. In this case, Berlin is spearheading an effort to keep Italy subjugated before an economic crisis (it’s already capitalizing off of) gets politically out of hand as it did in Greece, which is now a German vassal state. It’s Germany’s goal to create a United States of Europe and economic levers are but one tactic in harmonizing Europe how it sees fit in achieving that end.

 

https://www.german-foreign-policy.com/fileadmin/introduction/images/maps/3_europa/16_italien.gif

 

ROME/BERLIN (Own report) – Following massive complaints from Germany, Italy’s President Sergio Mattarella blocked a euroskeptic from becoming his country’s finance minister, appointing an IMF man – favored by Berlin – to be prime minister. The democratically elected 5-Star Movement (M5S) and the far-right Lega Nord majority’s opportunity to form a government was thereby denied. Euroskeptic Paolo Savona, a renowned career economist, was rejected because he could not have insured the maintenance of the EU’s common currency. Under his administration, resistance to Berlin’s austerity dictate could have been expected, whereas the newly appointed Prime Minster Carlo Cottarelli passed the test a few years ago as the Rome government’s austerity commissioner (“Mr. Scissors”). Savona’s nomination is the result of Italy’s growing euroskepticism, which, in the meantime, is also shared by other economists. “Germany profits, Italy loses” through the introduction of the euro, concludes Savona’s alternative candidate to the post of finance minister.

Continue reading

The EU’s Backdoor Path to a Unified Superstate

For years there has been a struggle in the Eurozone between those that want to transform it into a transfer union and those that who want a Europe of independent and cooperating countries. The latter including Austria, Finland, the Netherlands and Germany want strict limits for deficits and debt brakes as envisioned in the Fiscal Stability Treaty. Some, such as the European Constitutional Group, even demand a mechanism for an orderly break-up of the Eurozone. The former including Mediterranean member states led by France, do not openly call their objective a fiscal union or the creation of a “European Super State” but prefer to talk about a “deepening of the European project.” The reason for this division is straightforward: The central and northern European countries would be the contributors to a transfer union while the club Med would be on the receiving side. Continue reading

Cologne Institute of German Business Warns of Deposit Protection May Not Survive in Europe

https://d33wjekvz3zs1a.cloudfront.net/wp-content/uploads/2018/05/Euro-Crisis-1.jpg

 

The Cologne Institute of German Business sees in the planned European deposit insurance is simply incapable of proving protection against a bank crash in Europe. The EU deposit guarantee is simply not practical under any concept of austerity. The Eurozone still has inherent significant risks in the balance sheets of European financial institutions. This is primarily because where the USA took the bad loans from the banks and stuffed them into Freddie and Fanny, in Europe, the bad loans are still on the books of the banks. Systemically, this has been the leading problem why Europe has been unable to recover and Quantitative Easing merely robber savers of their income and it failed completely to stimulate the economy. Banks were still reluctant to lend and people would not borrow if they did not have confidence in the future. Continue reading

Export World Champion under Pressure

BERLIN (Own report) – With intense shuttle diplomacy, members of the German government are seeking to avert the impending US punitive tariffs on European goods and the loss of access to the important US market. Following Germany’s Finance Minster Olaf Scholz’s visit to the US capital yesterday, Chancellor Angela Merkel is expected in Washington on Friday. Already in the run up to these visits, Berlin seems ready to envisage a revival of the Transatlantic Trade and Investment Partnership (TTIP). This strategic decision is accompanied by a clear frontline position against China, as was resolutely demanded by the Trump administration. In addition, German-Russian business relations are increasingly under attack in Washington. At the same time, EU criticism of Germany’s unilateral trade policies is growing. Germany’s export oriented economy is particularly vulnerable to the protectionism that is gaining strength on a global scale. Berlin’s Beggar-thy-Neighbor-Policy could prove a strategic disadvantage under these new global economic conditions. Continue reading

Pan-European bank to Enrage Italy Germany & France: Nations FORCED to rescue failing banks

Eu banking union

The EU commission wants to plough ahead with plans for a banking nion [Getty]

 

BRUSSELS chiefs are piling pressure on EU members to back plans for a banking union, which will see nations forced to cover bank failures anywhere in the bloc, as it ramps up efforts to reform the Union.

The European Commission wants to plough ahead with the creation of a bloc-wide banking union, which was first proposed in 2012 by the end of 2018, in a bid to prevent a repeat of the 2008/09 financial crisis. Continue reading

EU goes Head-to-Head with USA in growing currency war – ‘We are Concerned!’

EU USA

Washington and Brussels are locking horns in a dispute over currency, tax and trade [Getty]

 

THE EUROPEAN Central Bank has accused the US of manipulating exchange rates as tensions between Brussels and Washington continue to escalate wildly.

The ECB is concerned the US is attempting to exert “political influence” on exchange rates, with the issue set to explode into outright confrontation at an upcoming G20 meeting.

The eurozone bank said it was “certainly concerned” by perceived attempts to influence the exchange rate in favour of the US dollar.  Continue reading

Russia and Europe moving closer to WAR warns shock new report

Russia war

Russia’s foreign policy has sparked concern across Europe [Getty]

 

RUSSIA and Europe are moving closer to all-out war, a shocking new report has warned.

The report said the erosion of arms control agreements, deployment of additional weapons and tensions over military exercises have increased the risk of an inadvertent armed clash.

The annual Munich Security Report, this year entitled ‘To The Brink – And Back?’ also cited growing pressure on nuclear disarmament treaties and ongoing security concerns in eastern and central Europe as cause for concern.  Continue reading

Germany is the leading breaker of EU rules

06 Rules, moi-01

 

No other country seems to lecture EU states as much as Germany. But, embarrassingly, Angela Merkel’s government is in breach of European regulations more than anyone else.

Yes, it’s really true: Germany is the top rule breaker in the European Union. The country, which has lectured debt sinners like Greece, performs worst in complying with European Union legislation. Physician, heal thyself. Continue reading

The Political Crisis in Germany Changes the Game

 

Merkel faces the worst crisis of her career and many behind the curtain are starting to wonder if she will even survive. The German Federal President Steinmeier could not actually order new elections immediately. The procedure in this regard is quite complicated in Germany. The earliest possible alternative would be to hold new elections come the spring of 2018. It is likely that the AFD is likely to gather even greater support from new elections. Nonetheless, the CDU will continue to support Merkel at least right now. However, the CDU has been severely weakened by the election and if we do not see new elections until the spring, there is a distinct possibility that Merkel’s support even within the CDU could collapse if they see the AfD will win even greater support. Continue reading