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Greek referendum

In Europe 3rd July 2015

The Greek referendum leads nowhere

MADRID | July 3, 2015 | By JP Marín Arrese | Tsipras’ strategy has been based on the wrong assumption EU leaders would cave in when confronted with the awesome prospect of the euro losing its irrevocable nature. But betting on such dangerous game theories, so dear to Mr Varoufakis, has created an appalling mess. Any desperate attempt to renew negotiations seems doomed until the referendum is held. Anything short of a ‘yes’ vote would plunge Greece into a dire situation.

Greek referendum

In Europe 2nd July 2015

Yes to the Greek referendum, no to the way it’s being held

ATHENS | July 2, 2015 | By Nick Malkoutzis via MacroPolis | Since the start of Greece’s bailout programs in 2010, there has been an unrequited desire in Greek public opinion for a referendum. In fact, current Prime Minister Alexis Tsipras urged the then Greek leader George Papandreou to hold one before signing the first memorandum of understanding with creditors five years ago. In late 2011, when Papandreou proposed holding one, Tsipras was against the idea. 

Seat factory in Spain

In Europe 1st July 2015

Spain PMI below expectations, yet employment growth fastest in 8 years

The Corner | July 1, 2015 | Spanish manufacturing PMI, one indicator of the economic pace of a country, posted 54.5 in June, down slightly from 55.8 in May. However, operating conditions have now strengthened in each of the past 19 months, according to Markit analysts. Manufacturers reported having hired extra staff to meet higher production requirements and prospects of future growth.

Greek crisis

In Europe 26th June 2015

Greek deal – Not yet. Tough weekend ahead

LONDON | June 26, 2015 | Barclays | The lack of an interim deal between Greece and its creditors signals that the two sides remain divided despite being closer than they have been. Crucially, Greece agrees on pension savings worth 1% of GDP but it plans to get there mainly via higher contributions, while creditors prefer phasing out top-up pension payments and aggressively cutting early retirement. 

Greek soldiers

In Europe 25th June 2015

Why doesn’t Tsipras just cut defence spending?

ATHENS | June 25, 2015 | By Nick Malkoutzis via MacroPolis | It seems the easiest option for a left-wing party coming to power and needing to save money: cut defence spending. However, despite being under intense pressure from Greece’s lenders to find a way to meet fiscal targets over the next few years, making some of the savings it needs from reducing expenditure on the military is not as easy as it first seems for Syriza.

alleyes

In Europe 24th June 2015

All eyes on Greece

LONDON | June 24, 2015 | BARCLAYS | Although the news from  Greece’s programme negotiations was mildly positive, we remain cautious on the eventual outcome as the situation remains very tense, particularly with respect to the banking sector.