Monday, May 9, 2011

Germany fights to save Euro


Euro © fintag

News comments:
Let's face it the Euro is only surviving because the Germans have no other choice.

The recent animosity in Germany against the southern countries who were seen to be free riding the Euro appears to be abating. Germany, and France, have realised it is better for their economies if the Euro is kept in place.

So we are seeing an ECB being asked to control the PIIGS by all means possible. If they default, they default. The price will be a sort of short term imperialism where assets are ceased as collateral and its people kept down by the threat of poverty if they demand to leave the Euro.

The Euro is here to stay.

Today's shorts:
An apple a day keeps the google at bay (reuters)

Today's longs:
Euro is number one (bloomberg)

Regulation is expensive (hedgeweek)

California to join the Euro.