Europe’s Leaders Have Finally Run Out of Time
If they fail to agree on some form of debt pooling and shared fiscal destiny at Thursday’s emergency summit, they risk a full-fledged run on South Europe’s bond markets and a disorderly collapse of monetary union.
“We are heading towards fiscal union or break-up,” said David Bloom, currency chief at HSBC. “Talk is no longer enough as the fire threatens to leap over the firebreak into Spain and Italy.
“What the market is worried about is Germany’s long-term commitment to the euro project. If we see unreserved and absolute backing from the political establishment of Germany, that will be a soothing balm.”
Chancellor Angela Merkel seemed in little hurry on Tuesday to convey such a message. There will be no “spectacular step” at the Justus Lipsius building on Thursday; just a “controlled process of gradual steps and measures”, she said with unflappable calm. Given the simmering wrath from top to bottom of German society, it may be impossible for her to do much more.
Jens Weidmann, the Bundesbank’s president, has made her task that much harder by telling the eurosceptic Bild Zeitung that “nothing would destroy the incentives for a solid budget policy more quickly and more permanently than joint liability for national debts. European and especially German taxpayers would have to answer for the entire state debt of Greece. That would be a step toward a transfer union.”
Days earlier he shot down proposals for issuance of eurobonds or use of Europe’s rescue fund to buy Spanish and Italian bonds on the open market, crucial steps to prevent Italy and Spain being drawn into the maelstrom. “It has a high cost, limited use, and dangerous secondary effects,” he said, departing radically from the script of the European Central Bank. – The Telegraph
The International Monetary Fund warned that markets doubted the eurozone’s ability to find a solution to the debt crisis as it urged European leader to act quickly to prevent contagion that could damage the global economy.
“It would be very costly not just for the eurozone but for the global economy to delay tackling the sovereign crisis,” said Luc Everaert, head of Euro Area Policies in the IMF’s European Department.
The IMF said that despite “support from euro area member states and the ECB, market participants remain unconvinced that a sustainable solution is at hand”.
It said in a staff report that the results of any policy decisions would be “unpredictable” and that the eurozone needed more private money to support the “most fragile” of its “still-frail banks”. – Telegraph.co.uk
Reported by our Ministry January 2011: Satan will lose this throne and gain another in the his installment to that of the European Union whom will issue the World currency that will soon come into existence. You are each watching the pieces of the jigsaw puzzle fall into place.
A new DAWN will arise with Satan taking the lead where his human counterparts failed. Satan will promise change with a better society under his direct ruler-ship. His vehicle will be that of the European Union.
But know this, for Satan will not succeed, and Yahweh cannot be turned back in Her anger.
Ezekiel 7:8 “I will pour out My wrath on you very soon; I will exhaust My anger against you and judge you according to your ways. I will punish you for all your abominations.”
Isaiah 14:27 “The LORD of Hosts Himself has planned it; therefore, who can stand in its way? It is His hand that is outstretched, so who can turn it back?”