Eurozone will collapse...

[Ignitionnet]

Originally Posted by Pierre

Yes, the overriding issue our French neighbours seem to be overlooking is that we're not in the Euro.

Our deficit and growth outlook may be no better than the French or even a little worse, but we haven't got to carry Italy, Greece, Spain & Portugal.

Our banks are also already recapitalised, 250bln of our debt is held by our central bank and can be torn up at will, and our banks are far, far, far less heavily exposed to the PIIGS with the exception of Ireland who we're assisting unilaterally.

[Osem]

Ratings agency Fitch has affirmed France's top-notch AAA credit rating but has revised its outlook on the country to "negative" from "stable".

A negative outlook usually means a downgrade is possible in 12-18 months.

http://www.bbc.co.uk/news/business-16226543

I expect the French will now be demanding an even worse rating for the UK.

Anyway, it looks like their recent comments directed at the UK have been noted by World Bank President Robert Zoellick:

I have been deeply troubled over the past couple of days to see some of the commentary going across the English Channel, not only comments from France but also from Brussels" and others, Zoellick told the Atlantic Council.

...at key points like this where it is sensitive, you want to encourage people to act with a higher plane of responsibility," he said. "They need to be careful because I think you've got a tinderbox out there in both political and economic terms," Zoellick added.

http://www.reuters.com/article/2011/...7BF1PH20111216

He's right about the 'tinderbox' I believe but I wonder if the French are now going to play "my bank's bigger than your bank" whilst we all sink into the political and economic mire...

[Osem]

The president of the European Central Bank (ECB), Mario Draghi, has said he has "no doubts" about the euro's ability to survive the current crisis.

http://www.bbc.co.uk/news/business-16253026

I think we're fast getting to the point where most of us don't believe a word any of these people say.

[mertle]

Fear the bitching is prelude to european War.

If we dont sort it peacefully then I fear thats what will happen. The bitching happening is they acting like school kids in playground before the scrap ensues.

I hope I am very wrong but our loutish kids in power it seems at present. They have one track method solving problems they wont work together you will always have one throw his toys out the pram. First blood to that was cameron squealing like spoilt brat.

Then the french we sadly instead adults being civil admitting you wont get all what you want and concede ground at least you working to common goal.

We wont solve europe issues due to pettyness bratish behavour so sadly it will end in only way brats behave thats war.

[denphone]

Originally Posted by mertle

Fear the bitching is prelude to european War.

If we dont sort it peacefully then I fear thats what will happen. The bitching happening is they acting like school kids in playground before the scrap ensues.

I hope I am very wrong but our loutish kids in power it seems at present. They have one track method solving problems they wont work together you will always have one throw his toys out the pram. First blood to that was cameron squealing like spoilt brat.

Then the french we sadly instead adults being civil admitting you wont get all what you want and concede ground at least you working to common goal.

We wont solve europe issues due to pettyness bratish behavour so sadly it will end in only way brats behave thats war.

l somehow do not think a European war is likely despite our huge differences as no country ever wants to go through the terrible events of two world wars that costs many many lives and took countries twenty years to rebuild afterwards.

Originally Posted by mertle

Fear the bitching is prelude to european War.

If we dont sort it peacefully then I fear thats what will happen. The bitching happening is they acting like school kids in playground before the scrap ensues.

I hope I am very wrong but our loutish kids in power it seems at present. They have one track method solving problems they wont work together you will always have one throw his toys out the pram. First blood to that was cameron squealing like spoilt brat.

Then the french we sadly instead adults being civil admitting you wont get all what you want and concede ground at least you working to common goal.

We wont solve europe issues due to pettyness bratish behavour so sadly it will end in only way brats behave thats war.

You are very wrong.

Wars happen over resources or territory, not people bitching about each other.

[Sirius]

Originally Posted by Hugh

You are very wrong.

Wars happen over resources or territory, not people bitching about each other.

Or started because someone has a thing about the tories

Wonder if we can get Blair to make up some lies thats should do the trick if you want a war

[devilincarnate]

Originally Posted by Sirius

Or started because someone has a thing about the tories

Never mind them all the parties are to blame

Originally Posted by Sirius

Wonder if we can get Blair to make up some lies thats should do the trick if you want a war

What again?

[Sirius]

Originally Posted by devilincarnate

Never mind them all the parties are to blame

Agreed

Originally Posted by devilincarnate

What again?

Indeed, He was so good at it

[Osem]

The implied cost of borrowing for Hungary has risen after ratings agency Standard & Poor's (S&P) downgraded the country's debt to junk status

http://www.bbc.co.uk/news/business-16298773

How much more 'junk' is there within the EU I wonder?

[Chrysalis]

am I the only one who is sceptical about an american private company dropping ratings of EU countries?

[Osem]

You mean perhaps it'd be more credible if it were a company owned by the Hungarians or Greeks, Italians, Spanish, Portuguese, Irish etc. etc. etc?

Anyway, just in case you're suggesting some form of undue national and/or political bias (as opposed to pure ineptitude) that same US agency quite recently downgraded its ratings for the US from AAA to AA+

http://www.guardian.co.uk/world/rich...ebt?CMP=twt_gu

http://en.wikipedia.org/wiki/Standard_%26_Poor's

[Osem]

Italy's senate has passed a confidence vote on austerity measures planned by Prime Minister Mario Monti.

The package includes spending cuts, tax rises and pension reforms. It had already passed in the lower house.

http://www.bbc.co.uk/news/world-europe-16301956

Found this one interesting - cash transactions above 1,000 euros outlawed to discourage tax evasion!

[Chrysalis]

Originally Posted by Osem

You mean perhaps it'd be more credible if it were a company owned by the Hungarians or Greeks, Italians, Spanish, Portuguese, Irish etc. etc. etc?

Anyway, just in case you're suggesting some form of undue national and/or political bias (as opposed to pure ineptitude) that same US agency quite recently downgraded its ratings for the US from AAA to AA+

http://www.guardian.co.uk/world/rich...ebt?CMP=twt_gu

http://en.wikipedia.org/wiki/Standard_%26_Poor's

no it would still be dodgy.

this is the same agency rating subprime mortgages triple AAA

[Osem]

So now your original point about it being an American private company dropping ratings of EU countries is totally irrelevant then? It's just a dodgy company pure and simple.

Phew, I'm so glad that things aren't really as bad as they look.....