Whether this is case of punishment for exiting or actual concern remains to be seen, although the former is quite plausible. The S&P has in the past been used as an economic warfare tool by the American government to bend or break nations to its will.
See the source link for the video.
Standard & Poor’s on Monday downgraded the United Kingdom’s sovereign credit rating by two notches, from “AAA” to “AA,” citing last week’s referendum that approved a British exit from the European Union.
“In our opinion, this outcome is a seminal event, and will lead to a less predictable, stable, and effective policy framework in the U.K. We have reassessed our view of the U.K.’s institutional assessment and now no longer consider it a strength in our assessment of the rating,” the ratings agency said in a news release. Continue reading
British Prime Minister David Cameron and his eurosceptic opponents made final pitches for wavering voters on Wednesday on the eve of a defining referendum on European Union membership with the outcome still too close to call.
The vote, which echoes the rise of populism elsewhere in Europe and the United States, will shape the continent’s future. A victory for “out” could unleash turmoil on financial markets and foreign exchange bureaux reported a surge in demand for foreign currency from Britons wary sterling may fall.
“Quitting Europe is a risk to your family’s future because a vote to leave on Thursday means there is no going back on Friday,” Cameron said.
Most pollsters said the result was too close to predict, and would depend on turnout on the day and any late swing among the substantial number of undecided voters.
“It’s our last chance to sort this out and take back control,” said former London mayor Boris Johnson, the main leader of the Leave campaign and favorite with bookmakers to replace Cameron in the event of Brexit. Continue reading
BERLIN/LONDON (Own report) – Initial outlines of Berlin’s possible reaction to Britain’s EU exit (“Brexit”) are beginning to seep out to the public. According to a report, government circles, who themselves see no reason to fear the turbulences of the financial markets, are hoping that these will persuade a sufficient number of the British to vote in favor of “remaining.” If this does not work, and the British opt for the Brexit, drastic measures should not be excluded. To avoid negative effects on the German economy, some members of the administration are pleading in favor of granting the UK an EU-associate status, similar to that of Norway. However, “a front should be established” to prevent other EU members from following suit and converting to an associate status. The transition to a “core Europe” remains an option and a discussion of it could be initiated at the end of this week. The foreign ministers of the six EU founding countries have planned an exclusive meeting to discuss the consequences of the British referendum.
The author is 50% right and 50% wrong. Simon Jenkens explains that a Brexit would mean Germany will be given free rein over Europe once again and to be able to do what it wants without being stopped. This is the the half portion where he’s right.
Where he’s wrong is that he’s missing 50% of the picture: Germany doesn’t really care what Great Britain does, it’s advantageous either way. If the Britons wish to remain in, they will be subjugated to Germany as they run the EU and two thirds of the Troika which is stacked with unelected officials answerable to nobody — and coincidentally mostly German. To see where the scenario of staying in would lead to, just look at Greece. It’s a vassal state with no more sovereign rights and gets dictated to on economic policy, the terms of the bailout it accepted under Communist Varoufakis and Tsipras. The same for Cyprus.
This is the price for staying in and reaping what the leadership in Germany and Brussels call “benefits”.
One day people are going to wake up and realize the Fourth Reich is here — and it’s pushing for a tyrannical United States of Europe. Its respective EU Army (NATO’s replacement) is already under construction. Soon you won’t be flying into a continent called Europe, but a nation called Europe.
You might’ve seen this quote often here by now, but it still couldn’t be any more true and relevant for today:
“You have not anchored Germany to Europe,… You have anchored Europe to a newly dominant, unified Germany. In the end, my friends, you’ll find it will not work.“
– Margaret Thatcher
In the end, this referendum is about politics not economics. And a Britain that votes to stay in the club will wield serious clout
Decision time is here. The dither must stop. The referendum campaign has been tedious and infuriating, but in truth enthralling. I cannot remember a political event that has so consumed public discussion. In every pub, workplace, college and home, friends have argued, families feuded, allegiances splintered. Only the 2014 Scottish referendum came near it. For two months democracy has been asked to do that most alarming thing: to think for itself, independent of party. It is awesome. It is also dangerous.
I have deliberately switched sides each week during the campaign, to see how the much-vaunted “facts” register against divergent prejudices. I have subjected my poor brain to a barrage of “reality checks”, and meticulously balanced pros and cons. I have long been a Eurosceptic, but that is not the same as being a leaver. Continue reading
As the UK gears up for a historic vote on whether to leave the EU in just nine days, it has been claimed that a series of bizarre and costly decisions are being shelved until after the poll.
The issues have been highlighted by MEP Daniel Hannan, author of Why Vote Leave, and detail weird and occasionally sinister proposals, which have apparently been put on the back burner until after the vote. Continue reading
The EU believes the lorry levy breaches the bloc’s equal treatment rules as it simultaneously lowered excise duty for British trucks – effectively, says Brussels, penalising foreign vehicles driving on UK highways.
In a letter earlier this month to German transport minister Alexander Dobrindt, EU Commission President Jean-Claude Juncker’s chief of staff Martin Selmayr expressed his “concerns” about the legality of the British model under EU law. Continue reading
Greece engaged in angry exchanges with the International Monetary Fund (IMF) over the weekend after WikiLeaks transcripts suggested that the fund was seeking to threaten Greece with a risk of default.
WikiLeaks published the text on Saturday (2 April) of an alleged conversation between three IMF officials in which they say that Greece only does what it needs to do only when it runs out of money – a situation they suggest could happen again soon.
The Greek government responded by asking the IMF whether “seeking to create default conditions in Greece, shortly ahead of the referendum in Britain, is the fund’s official position”.
Several Western countries issued travel warnings for Greece on Sunday, as the Greek government shut down all banks and imposed capital controls following the breakdown of talks between Athens and the European Union. British and American citizens traveling or living in Greece were advised to have enough cash on hand, as ATMs were quickly running out of currency. In a late-night televised address to the nation, Greek Prime Minister Alexis Tsipras said banks would remain closed until July 6 –the day after Greeks vote in a nationwide referendum on whether to accept the bailout terms proposed to Greece by its creditors. Police tightened security around ATM machines, as lines were reportedly formed in petrol stations in the capital. Continue reading
“Multi-speed”, “further integration” and “core group” are some key vocabulary you might want to keep paying attention to. As has been tracked here for a while, a newly formed United States of Europe with likely a dual-economy is coming courtesy of Germany’s Fourth Reich.
BRUSSELS (AP) — The prospect that economic and diplomatic heavyweight Britain might leave the European Union within two years has pushed EU leaders to consider concessions to keep the country in the fold.
EU founding members like Germany and France are moving outside their comfort zones, surprisingly receptive to British Prime Minister David Cameron’s call for change ahead of a referendum that will allow citizens to vote on whether to stay or go before the end of 2017.
With Europe’s top priority the very real risk that Greece might fall out of the euro single currency, Cameron has found a surprisingly open ear in many capitals of the world’s biggest trading bloc. Continue reading
Angela Merkel and Francois Hollande have reached an agreement to create a closer union within the bounds of existing EU treaties
Germany and France have agreed a pact to bring the Eurozone closer together without the need for treaty change in a potential blow to Britain’s plans for EU reform.
Angela Merkel, the German Chancellor, and Francois Hollande, the French President, have reached an agreement to create a closer union within the bounds of existing EU treaties.
A senior official at the Bank of England “inadvertently” sent research assessing the economic dangers of the UK leaving the European Union to an editor at a national newspaper.
The Bank was left in an embarrassing situation on Friday after it accidentally emailed details – including how to fend off inquiries related to the report – directly to the Guardian newspaper.
A Bank spokesperson said that the error was “unfortunate”. Continue reading
The appointment of an arch-federalist as the European Commission president risks creating a ‘dramatic’ backlash that will hasten Britain’s exit from the EU, one of the country’s most senior diplomats has warned.
A leaked document said Ivan Rogers, the UK’s permanent representative to the EU, believes the ‘die is cast’ in favour of Jean-Claude Juncker, the former prime minister of Luxembourg.
His proposed elevation to Europe’s top job has been fiercely opposed by David Cameron, who says Britain rejects the founding EU principle of ‘ever closer union’, which Mr Juncker supports. Continue reading