By Luis Arroyo, in Madrid | The US economy is on its way up to the growth heaven while others, like Europe, live under the knife. Broad money or M3 volumes have increased in the US by 10pc. In terms of what it is strictly required, the Federal Reserve is fulfilling its duties. The broad money supply includes factors of money supply and money and credit demand, which means that there is activity in all money and financial markets. The…
MADRID | While in Spain the formalities for the approval of the European Fiscal Treaty that was agreed last month by 25 countries of the EU are being carried out virtually unnoticed, Ireland announced February 29 that it will submit the matter to referendum. Despite this display of democracy, it is precisely just a display. Under no circumstances would Dublin’s ‘No’ paralyse the entry into force of the pact because it…
NEW YORK | One in seven Americans gets help from the federal government to feed themselves and their families. That is 46 million people, many of whom didn’t need help before the crisis. The current situation now leaves them no choice: their business collapsed, they were part of a company that filed for bankruptcy, they lost their home, bills started to pile up… there are many reasons to sign school-age children…
LONDON | The second estimate of GDP growth in the fourth quarter of 2011 confirmed the forecast of a contraction of 0.2pc, according to the latest UK Statistical Bulletin. However, the breakdown showed positive contributions from household expenditure (following four consecutive quarterly falls) and from net trade, with negative contributions from inventories and business investment. The British government said this presents a more positive picture of the expenditure side of the economy…
MADRID | As the daily newspaper El Economista published Friday, China has been intensifying its landing in Spain and has set its sight, among many other things, on the financial sector. A year and a half after the first bank of the Asian giant landed, the Bank of China, which ranks the third, has set its first step in Spain. The entity has obtained the authorisation to operate through its division established…
A partnership joined by Repsol announced Tuesday it had made a new hydrocarbons discovery offshore Sierra Leone. The Jupiter-1 well was drilled in an area that already has produced successful results in 2009 and 2010, confirming the significant potential of this region in Africa. Repsol owns a 25% stake in the consortium, while the operator Anadarko has a 55% participation and Tullow Oil 20%. They drilled the Jupiter-1 well in block…
NEW YORK | All presidential candidates and the people who run all independent political action committees must file campaign finance reports with the Federal Election Commission. These Reports and statements filed by political committees may be inspected and copied by anyone. You can check them at: http://www.fec.gov/disclosure.shtml. Now that every candidate is relying on Super PACS, a type of political group that can raise and spend unlimited funds, the key is…
By Juan Pedro Marín Arrese, in Madrid | Greek politicians’ sheer incompetence and the stiff resistance of its population to renounce living beyond its means are branded as evidence of that country unavoidable failure. Yet it only shows European leaders’ blindness in grasping how a monetary union should work. Their diagnosis on where the problem laid has proved to be utterly wrong. Obsession about budgetary targets, they knew beforehand to…
NEW YORK | The US are anxious over Greece. Wall Street fell on Wednesday and the Dow Jones Industrial Average suffered its biggest one-day decline this year. Treasury 10-year note yields traded below 2 percent as European leaders work on an eventual €130 billion financial bailout for Athens at their next meeting on February 20. Investors did not hide their worries: “As much as we’d like to ignore Greece and…
MADRID | According to Capital Madrid, Deutsche Börse’s executives as well as NYSE Euronext’s are already seeking other growth options, after the European Commission blocked their merger earlier this month. The fact is that the initiative has turned differently in both parts of the Atlantic. As the Germans have sped up the negotiations held with other European stock markets, the New Yorkers are trying to convince investors that they are able…