Category Archives: Euro-zone Update

A note on the Feasibility ECB Quantitative Easing

Recent comments from the ECB about potential attempts to mitigate a decrease in inflation through QE have led to an increased interest in the articles posted on this website about the SMP and the CBPP. However, such interventions were pursued for different … Continue reading

Posted in Current Events, ECB, Euro-zone Update, Inflation, Sovereign debt Crisis | Tagged , , , , , , , , , , , , | 2 Comments

The Latest Greek Deal – Another Indictment of Intergovernmentalism

This will be a short one about the latest example of the uselessness of intergovernmentalism… So after two failed attempts at finding common ground on Greece on November 13th and on November 20th, the Eurogroup finally came to a provisional … Continue reading

Posted in Euro-zone Update, European Integration, News Round up & Comment, Uncategorized | Tagged , , , , , , | Leave a comment

ECB Market Intervention: Outright Monetary Transactions (“OMT”) – A Preliminary Assessment

Last Thursday, September 6th, the ECB introduced its new goverment bond purchasing programme, known as the Outright Monetary Transactions (“OMT”). If you are interested in getting the information from the lion’s mouth, you can watch the press conference here,read its transcript here and get the … Continue reading

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Divergence in the Euro-Zone: Famous, Obscure and Predictable Facts

In a previous post about the theory of optimum currency areas (OCA), asymmetric shocks, structural problems and the intrinsic need that this creates for the institution of a fiscal union, I argued that incomplete by monetary unions (i.e.: lacking a … Continue reading

Posted in Economic Concepts, Euro-zone Update, European Interdependences, Uncategorized | Tagged , , , , , , , , , , , , , , , | Leave a comment

Euro Update(31): Rating cuts, trade surplus, new orders, SGP and ECB

Rating Cuts So as you must know by now, S&P lowered the sovereign debt rating of 10 Euro-zone countries on January 13. This included France, Austria, Italy and Spain. It will be interesting to see what this will mean for … Continue reading

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Euro-Update (30): Markit Surveys, US-Iran tensions & €Z interventions

The web is awash with news reports about regional and world economics. The focus is on the recent Markit Survey results, published in the last 2 days, as well as the US-Iran tensions, bond and forex markets. Here’s my overview. … Continue reading

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Merkel and Sarkozy’s Letter to Van Rompuy laying out the Dec 5 Agreement

So I found the joint Franco-German press conference from December 5, at the website of the French Presidency (so in French) and confirmed (08:15 into the video) that the reporters did not misrepresent their statements. Merkel and Sarkozy had no … Continue reading

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The latest Franco-German Agreement: Is it enough?

So France and Germany reached what was hailed as yet another “comprehensive agreement” on the reform of the Eurozone fiscal policies. In my opinion this wasn’t that comprehensive an agreement. It was only the last of such several steps since … Continue reading

Posted in Current Events, ECB, Euro-zone Update, European Integration, Sovereign debt Crisis, Uncategorized, Weekly Bond Yield developments in the Euro Area | Tagged , , , , , , , , , , , , , | 3 Comments