By March 27, 2018, 12:00 AM EDT Italy’s bond investors are looking beyond heightened political risks as cheap valuations on the nation’s debt relative to its peers make it attractive.Bondholders are justifying buying Italian securities on the back of improving economic growth and the recently formed grand coalition in Germany, which boosts the prospects for euro-area integration, according to Rabobank International. HSBC Holdings Plc would likely be among those buyers.While Italian 10-year securities slipped Monday after reports that Matteo Salvini, leader of the League party, would start talks with the head of the Five Star Movement Luigi Di Maio, yields are lower than before Italy’s March 4 election. The yield touched the lowest since mid-December last week, thanks in part to the relative cheapness versus Spanish bonds.“The uncomfortable upshot of this analysis, however, is the fact that it leaves one flying blind,” Rabobank strategists led by … [Read more...] about Italy’s Investors Are Turning a Blind Eye to Politics
Politics
May’s Up, Corbyn’s Down With Russia and Anti-Semitism Dominating U.K. Politics
In the see-saw world of British politics, Prime Minister Theresa May is on the way back up, buoyed by international support for her stand against Russia, just as opposition Labour Party leader Jeremy Corbyn is struggling with accusations of anti-Semitism.May’s patient and sometimes painful strategy of staying close to Donald Trump’s administration seemed to have paid dividends Monday when he ordered 60 Russian diplomats expelled from the U.S. over the nerve agent attack on an ex-spy on British soil. Fourteen EU countries also put aside differences over Brexit and announced similar sanctions in a coordinated move.Meanwhile Corbyn, whose internal critics have largely bitten their tongues since his unexpectedly good election performance in 2017, was the target of a demonstration outside Parliament led by Jews -- and joined by some of his own lawmakers -- who said he is too tolerant of anti-Semitism in his party.Found Lacking “He’s got to take personal … [Read more...] about May’s Up, Corbyn’s Down With Russia and Anti-Semitism Dominating U.K. Politics
Greece ex-minister Yanis Varoufakis launches political party
Greece’s former finance minister, Yanis Varoufakis, acting on his promise to take mainstream politicians to task, has announced the formation of his own party. Varoufakis, 57, said the grassroots party would seek to “bring realistic hope” to the debt-ridden country. It will be known as MeRA 25 and has the overarching aim of releasing Greece from “debt bondage”. “We will not mince our words,” he announced at the party’s launch event in a theatre hall in Athens. “[Our alliance] will be people of the left and liberalism, greens and feminists.” The initiative extends the DiEM25 (Democracy in Europe Movement 2025) Varoufakis co-founded in February 2016 with a view to contesting EU elections. Present in seven European countries, DiEM25 has urged members to engage in “responsible disobedience” while advocating a “new deal” for a continent still grappling with fallout from the 2008 global crash. Varoufakis, an … [Read more...] about Greece ex-minister Yanis Varoufakis launches political party
Follow Merkel’s Political Fixer for Hints on Germany’s Direction
To gauge the balance of power in Angela Merkel’s new government, look at where she’s placed her top political fixer.The German chancellor has entrusted Peter Altmaier with a key mission: bulking up the Economy Ministry, traditionally a relative backwater in policy terms, and turning it into a counterweight to the powerful finance post.As Merkel embarks on her hard-won fourth term, critics in her own party bloc still bemoan her decision to cede the Finance Ministry to the Social Democrats in a deal which helped seal their coalition. Yet it’s beginning to look like a reality she can turn to her advantage.The debt crisis that marked the peak of the Finance Ministry’s dominance over euro policy has faded. Wolfgang Schaeuble, whose decades of experience contributed to the ministry’s supremacy, has moved on to preside over the Bundestag. And with attention now shifting to trade conflicts, artificial intelligence and scrutiny of Chinese investments, Merkel has … [Read more...] about Follow Merkel’s Political Fixer for Hints on Germany’s Direction
The euro can only survive if political leaders recognise that we Europeans belong together and start building upon a common sense of purpose
Author: European Economic and Social Committee. The following press release was issued by the European Economic and Social Committee on February 6, 2017 10:39. Civil society and policy-makers discuss the future of the euro and how to take the deepening EMU process further There is no viable alternative to a more political Eurozone, focusing more on the big priorities that matter for its citizens than on specific numerical targets and technical issues. Once again, the EESC calls on the European political leaders to accelerate the process of deepening Economic and Monetary Union (EMU) in order to ensure more convergence among the Member States and to make the EU as a whole more prosperous, competitive and resilient to external shocks, within a concept of shared sovereignty. These were among the main messages of the high-level debate on What future for the euro? Threats and opportunities for stage 2 of deepening EMU which the European Economic and Social Committee (EESC) organised on 2nd … [Read more...] about The euro can only survive if political leaders recognise that we Europeans belong together and start building upon a common sense of purpose