25 Lessons from CYPRUS

There are many lessons to be learned from the Cyprus bailout, and plenty of implications for how things may develop in imagesthe future. We list 25 here, but there are more.

Lesson 1: Do not underestimate the ability of the eurozone to do the right thing – after all the alternatives are exhausted;

Lesson 2: Eleventh hour deals can often lead to mistakes and have unintended consequences. The decision to haircut depositors under EUR 100k was a pothole the Troika fell into. It questioned the integrity of the EUR 100k deposit guarantee;

Lesson 3: The disappearance of Mario Monti from the scene has reduced the influence the South has on decisions about the future of the euro; Continue reading “25 Lessons from CYPRUS”

From Rome With Love

[The Vatican I, Rome, Italy] (LOC)

Like Jennifer Lawrence‘s fall at the Oscars, unexpected but a chance to shine ‘comedically,’ Italy’s elections have shocked investors but provided attractive entry points to strong international firms, insulated from domestic woes (as well as offer up some funny one-liners from candidates). The possible loss of eagerly anticipated labour reforms, financial restrictions and market contagion provide shorter term sources of turmoil. Continue reading “From Rome With Love”

2012 European Crisis – somebody took the steps

Mario Monti, the Italian Prime Minister who spared the euro zone’s third-largest economy from all of Dante’s circles of 651345435hell, its sure destiny under his predecessor Silvio Berlusconi. It is another Mario – Mario Draghi, president of the European Central Bank.

Mr. Draghi, who was the Financial Times’s Person of the Year and lauded pretty much everywhere else (eclipsing Canada’s Mark Carney, the next Bank of England governor, if you can believe that) made two bold moves that removed the crisis’s rough edges.

Continue reading “2012 European Crisis – somebody took the steps”

The Status-quo on Euro Debt Crisis :

Lets try to simplify what is the status quo of the Euro crisis, where the Euro and world stands today. I am trying to but in the chronological order from latest development to the prior one. Then we try to read between the lines.

The German chancellor said: “It’s important to me that we all stand by our obligations and wait for the troika report and see what the result is. We and I will encourage Greece to pursue the path of Continue reading “The Status-quo on Euro Debt Crisis :”

Euro Crisis: Grexit Now the Spexit

The more you read and write on this topic, the more you explore every time. Grexit? Spexit? and many more terminologies to hear as the crisis deepens. I did more than a dozen post where the recent one covers the EU submit and the Euro 2012 soccer cup Euro and European champions.

The aftermath to last weeks EU summit has certainly proved to be a damn sight more perplexing than the actual summit itself. Contrary to earlier experiences, Continue reading “Euro Crisis: Grexit Now the Spexit”