Funny – just as the
IMF has stated that the Commission is not fact-based, highly political, cannot
admit its policy errors and that the IMF will not participate in lousy, stupid,
untenable bailouts in the future, the Commission is quick to state that the IMF
should leave the Troika. The Commission sounds like the girls I used to go out
with – quick to end a relationship when they sense that the other is about to
leave.
Of course, the Reding’s
argument of lack of democratic oversight is ridiculous – the Commission is not
answerable to anyone in practice. Her suggestion would only lead to a further
increase of Brussels’ powers, and more policy errors based on the
narrow interest and political bickering.
Meanwhile, there have
been comments that the Troika should really be abolished – and the IMF should
take the whole Europe under its program.
Previously on MoreLiver’s:
Roundups
News roundup – Between
The Hedges
The 6am Cut London – alphaville
/ FT
Emerging Markets
Headlines – beyondbrics
/ FT
Asia Morning MoneyBeat: Nibbling on Apps, Waiting
for Main Course – WSJ
MORNING BRIEFINGS
The UK labour market report, followed by US Housing
Starts and Congressional testimony by Fed Chairman Ben Bernanke, are among the
highlights in today’s scheduled economic news.
Market Preview: Bernanke’s Congressional
testimony in spotlight – TradingFloor
European markets are
expected to open mostly flat Wednesday. Investors keenly await the US Fed
Chairman, Ben Bernanke’s testimony before Congress later today for hints on the
timing of QE3 tapering.
Danske Daily –
Danske Bank (pdf)
Market comment – Bye, bye, IMF – Nordea
Core bond yields
edge lower ahead of Bernanke – equities under modest pressure * Fresh inflation
data not easing the disinflation concerns of some Fed members * Strong momentum
continues on the US housing market * EU planning to kick the IMF out of Europe?
* Bond bulls likely to be disappointed by Bernanke’s message * BoE minutes and
US housing market data also followed
Aamukatsaus – Nordea
Poliittiset
riskit ravistelevat europeriferiaa * Markkinat odottavat Bernanken lausuntoa
EUROPE
EU commissioner calls for troika to be
abolished – Reuters
EU Justice
Commissioner Viviane Reding called on Tuesday for the "troika" of the
European Commission, the European Central Bank and the International Monetary
Fund (IMF) to be dissolved.
Italian PM warns of 'huge risk' that Britain
leaves EU – Reuters
Italy's prime
minister said on Tuesday that there was a "huge risk" that Britain
would leave the European Union in the next few years and he urged other
countries to work to reduce the prospect of an exit.
UNITED STATES
Some on Fed Want Thresholds Turned Into
Triggers – WSJ
The Fed Is The Problem, Not The Solution: The
Complete Walk-Through – ZH
ASIA
OTHER
Frantic Rule-Writing Won’t Avert New Banking
Crisis – View
/ BB
The gain in safety
from all this is likely to be small -- too small, probably, even to offset the
danger created since the crash by greater concentration in the finance
industry. Once the residual fear from the last crisis fades and the appetite
for risk revives, financial systems might be more at risk than before, not
less.
The market is not the best place to set a fair
price for assets – FT
John Kay: At Enron and
in the banks, assets were marked to values set by biased traders