Germany Archive

Rogoff & Reinhart answering my call in FT – Austerity is not the only answer to a debt problem

Good to see Ken, who I’ve never met, and Carmen who I do know, no doubt assisted by her husband Vince, beginning to come clean with this response. While not complete, it’s the beginning of an encouraging, epic reversal and a first step in the right direction! My comments added below: Austerity ...Read More

Germany’s Ifo Drops in April, Raising Odds of ECB Cut

And a rate cut only makes it worse, as per the interest income channels: Germany’s Ifo Drops in April, Raising Odds of ECB Cut April 24 (Bloomberg) — Germany’s Ifo index dropped in April, in a further sign that Europe’s largest economy is slowing. The business climate reading came in at 104.4 ...Read More

Blood sweat and tears without further purpose

>    >   (email exchange) >    >   Dijsselbloem made very clear that the shareholders, then the bondholders and then the >   uninsured deposit holders are at risk when a bank gets into problems. >    Yes. >    >   Looks like eur / usd will go down until Draghi comes out and says that the ECB will do >   whatever ...Read More

German Manufacturing Output Surprisingly Contracted in March

Warning- a weakening economy will make their deficit go up! ;) German Manufacturing Output Surprisingly Contracted in March By Zoe Schneeweiss March 21 (Bloomberg) — A German index based on a survey of purchasing managers in the manufacturing industry declined to 48.9 this month from 50.3 in February, while a services gauge ...Read More

Germany Defies Calls for Stimulus

Just to make double sure unemployment won’t go down? Germany Defies Calls for Stimulus ...Read More

German Car Sales Risk Fall Below 3m

Not a good sign. German Car Sales Risk Fall Below 3m, Bloomberg Industries Says March 6 (Bloomberg) — German Jan.-Feb. new car registrations, already 9.6% lower ytd, may plunge below 3m this year for only second time since 1990, says Bloomberg Industries analyst Kevin Tynan. ...Read More

Thaler’s Corner 19th Februaryy 2013: Positive Currency Wars!

The usual excellent post! Positive Currency Wars! 19 February 2013 Financial markets are today being buffeted about by a slew of highly complex and changing influences. As readers may recall, at end-January (Thaler’s Corner 31/01: Too Cloudy), we advised people to favor Risk Off positions (references 2725 Euro Stoxx and 141.85 Bund), ...Read More

Merkelisms

*MERKEL SAYS EUROPE HAS TO LEARN TO ONLY SPEND WHAT IT TAKES IN *MERKEL SAYS TOO MANY IN EUROPE HAVE LIVED BEYYOND THEIR MEANS *MERKEL SAYS EU MUST ENSURE THAT IT FIRST EARNS WHAT IT SPENDS *MERKEL SAYS `DEBT MEANS DEPENDENCY’ ...Read More

German Economic Model Vindicated by GDP Data

As previously suggested, any sign of stabilization will be twisted into ‘austerity works’ rhetoric. Yes, austerity has pushed deficits up the ugly way- higher unemployment comp and lower tax payments due to the slowing economy- to the point where the deficits gravitate to levels high enough for euro zone GDP to stabilize ...Read More

U.K. Unemployment Rate Hits 9-Month Low, Defying Recession

More hints from europe that deficits may be high enough to support a bit of GDP growth? Euro-Region Construction Output Advanced in May, Led by Germany By Simone Meier July 18 (Bloomberg) — Euro-area construction output rose in May, as gains in Germany and Portugal offset declining production in Italy, Spain and ...Read More