Stratfor: can Europe’s banks break free from their doom loop?

Summary: Banks are the financial heart of modern nations, and Europe's are in trouble. One of its greatest, Deutsche Bank, has severe problems. Here Stratfor looks at the perilous state of Europe's banks, looked in a doom loop by their holdings of government bonds. Can the Eurozone Break Its 'Doom Loop'? Stratfor, 16 February 2017. … Continue reading Stratfor: can Europe’s banks break free from their doom loop?

Stratfor: Germany and ECB Face Off. Better than any WWF fight.

Summary: The monetary experiments central banks are running in Japan, Europe, and America will shape the global economy of the 21st century -- no matter what the result. Here Stratfor looks at the growing tensions between the ECB and Germany. It's a sound analysis. But note Stratfor's top-down perspective. By "Germany" they refer not to … Continue reading Stratfor: Germany and ECB Face Off. Better than any WWF fight.

Today began the next phase of the great monetary experiment, as reality plays a trump card.

Summary: Today began the next phase of the great monetary experiment, the collision of Central Bankers' bold promises with reality.  History suggests skepticism about the odds of CB's success (e.g., see the many unbreakable currency pegs and unions which broke). Today the Swiss National Bank folded its cards. Here we discuss the significance of this … Continue reading Today began the next phase of the great monetary experiment, as reality plays a trump card.

Update on Europe: Tinker Bell fails to deliver

Summary: Monday's post explained why last week’s statement by ECB President Mario Draghi was not the game-changer Wall Street assumed. Today the ECB met and did little but give more comforting words. Here's the scoop. . The ECB President Speaks to the world Cutting through the blather, here is my guess what was in Mario … Continue reading Update on Europe: Tinker Bell fails to deliver

Last week they spoke comforting words, but I saw only the frightening aspects of the euro-crisis

Summary:  Although entertaining as gallows humor, last week's statement by ECB President Mario Draghi illustrates important but seldom discussed aspects of the euro-crisis. Here we read and annotate the text. It's an oddity of our time that people tend to rely on secondary sources -- journalists and pundits -- to learn what the world's leaders … Continue reading Last week they spoke comforting words, but I saw only the frightening aspects of the euro-crisis