By Zsolt Darvas, Guntram B. Wolff | Bruegel Think Tank | Irrespective of the euro crisis, a European banking union makes sense, including for non-euro area countries, because of the extent of European Union financial integration. The Single Supervisory Mechanism (SSM) is the first element of the banking union.
WASHINGTON | Will the rally last? In theory, Investors Intelligence’s poll says no.
Project Syndicate | By Raghuram Rajan | The bankers do not seem to have internalized a fundamental axiom of modern finance: risk emanates from the assets that a bank holds.
MADRID | The problem is that some eurocrats seem unable to realise the consequences of their irresponsible talk when they land jobs on the top of the European pyramid.
NEW YORK | A double reminder of the American financial system burst was news today. On one hand, Warren Buffett earned a few hundred million dollars swapping his Goldman Sachs warrants for stocks of the company, maybe the single most lucrative bailout for a single investor. In a separate move, Lehman announced it is paying back more than $14 billion to its creditors
MADRID | Any economy, save for a Soviet one, is run under the healthy guiding rule that smart decisions are rewarded and wretched ones get penalised by the market.
BRUSSELS | By Alessio Pisanò | UK Chancellor George Osborne said limits on bankers bonuses will make it more difficult to ensure that the banks and the bankers pay when there are mistakes. Nevertheless, no one else in the EU stood by him.
During the rest of the year, the Ibex should improve its performance against the SMC, according to BNP Paribas broker.
MADRID | Juan Enrique Cadinanos, at Hanseatic Brokerhouse, thinks US equity markets are too expensive for a slowed down economy under the burden of a huge state debt.
MADRID | The eurozone is trapped in internal conflicts that prevent the European Central Bank to compensate, as it should, the fluctuations of money demand.