Follow ‘MoreLiver’ on Twitter
EUROPE
The lender is probably
more important to the German economy than the GSEs were to the U.S.
Regrettably, this isn’t
the right time for a much closer euro zone.
A common currency was
supposed to unite Europeans. Instead, it increasingly divides them, as Italy
showed again this week. Pro-Europeans must talk honestly about the euro.
Wir Europäer müssen
aufhören, uns kleiner zu machen, als wir sind. Der Euro ist eine
Erfolgsgeschichte, an der die EZB entscheidenden Anteil hat.
Bundesbank chief hits at plan for eurozone crisis fund – FT
More risk sharing could
create ‘dubious incentives’, Jens Weidmann warns
EUROPEAN
CENTRAL BANK
ECB: Preparing the end of QE? – ING
A rather hawkish speech
by ECB chief economist Peter Praet this morning provided more evidence that
next week’s ECB meeting will see a heated debate on how and when to end QE
Some officials consider
Riga gathering right time for decision * U.S. trade spat, economic slowdown and
Italy still pose risks
The ECB Is Nearly Done With Its Crisis-Era Playbook – BB
Governing Council will
hold its next meeting on June 14 * Officials said to see chance policy stance
will change
Coordinating monetary and financial regulatory policies – ECB
Coordinating monetary and financial regulatory policies – ECB
Coordination between
monetary and macro-prudential policies helps to reduce the risk of entering into
a financial crisis and speeds up exit from the crisis. The downside of
coordination is variability in inflation and in the employment gap
At the lower bound, as
long as asymmetries between countries result from shocks, outcomes under an
unconstrained policy rule can be replicated via a symmetric QE design. By contrast, asymmetric structures of the
countries which matter
for the transmission
of monetary policy
can translate into
an asymmetric QE design.
The end of bond
purchases is nigh, but officials need to find a way to maintain support for
troubled countries.
ITALY
A lopsided trade is a good trade, Italian inflation edition – FT
A lopsided trade is a good trade, Italian inflation edition – FT
Using inflation swaps as
a hedge against – or a bet on – “Italexit”.
The emergence of a
populist government in Italy directly affects France and its ambitions for
European reform. With a politically weakened Germany, a hostile Eastern Europe,
and a largely paralyzed Spain, French President Emmanuel Macron, a firm
believer in the European ideal of “ever closer union,” risks isolating his
country.
Country’s bond yields
march higher as investors drop the debt, hitting banking stocks
By using QE as a
political football, the populists might help the central bank make up its mind
on easing off bond purchases.
OTHER
Martin Wolf: Why
the Swiss should vote for ‘Vollgeld’ – FT
A
radical rethink of the financial system was essential after a devastating
crisis
The Marshall Plan Taught Lessons Trump Refuses to Learn – BB
An
anniversary on which to remember why the U.S. built the post-World War II
global order.
Chart of the Week: The Rise of Corporate Giants – IMF
REGULARS
Facebook shares with China, Aston Villa crisis, the Millennial Moment
China’s Offer on Trade, Global Economy Set to Weather Turmoil
There Are More Job Openings Than People Looking For a Job
Greenback Corrects Lower
Cars, money, power — Priceless euro — The world vs. Trump
Stocks And Euro Rise, Bonds And Dollar Slump After ECB Comments, With
Italy, Trade War Fading
FINNISH
Aamukatsaus – Nordea
Öljy ei auta
Norjan kruunua * Italian tuleva hallitus alahuoneen luottamusäänestyksessä
tänään * Puolan ja Intian keskuspankkien odotetaan pitävän korkonsa ennallaan *
Ruotsin tuotantoluvut olivat pettymys