Here
are the ”best” from my posts of the ending week. Last week’s edition here.
Last week:
Juncker named the next president of the EU Commission.
Italy’s
Renzi demands breaking fiscal pacts
BIS warned of a bubble similar to 2007
US June employment report stronger than expected
ECB moves to less frequent meetings, begins to publish
minutes
Sweden’s
central bank surprised with a large cut, disagreement
BNP Paribas was made an example
BoE is scared of housing bubble
Previously on MoreLiver’s:
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EUROPE
Only 8% of banks says
they will need to raise capital after AQR – Bruegel
Ernst and Young has published this week their European
Banking Barometer for the first half of 2014, which gives a very interesting
snapshot of the banking sector’s perceptions about macroeconomic outlook as
well as an indication of their priorities for the next moths. Among other
issues, it also includes interesting insights on banks perception of the
capital needs that will result from the ECB’s assessment. Findings confirm that
uncertainty still prevails.
Europe has wasted a good crisis – Bruegel
In a crisis, when Europe stumbles, it
gets up to move forward. Not this time.
Euro Debt
Constraining Growth – FT
Ralph Atkins, the FT’s capital markets editor, discusses
high private sector debt levels in the eurozone with Moritz Kraemer, S&P’s
chief sovereign ratings officer. Mr Kramer says Europe
is ‘in for the long haul’ on debt deleveraging.
Deflating euro zone inflation expectations – Reuters
With signs the fragile euro zone recovery may already be
faltering, the threat of deflation remains real. The danger of course, as the
Bank of Japan knows well, is that when deflation sets in, it does so very
gently. But once it does, it can take a generation to escape.
Germany and the future of the euro – voxeu.org
German dominance has allowed the euro to achieve a number of
design objectives, and this may continue if Germany
does not shirk its responsibilities. Germany’s
resilience and dominant size within the EU may explain its ‘muddling through’
approach to the Eurozone crisis. Greater mobility of labour and lower mobility
of under-regulated capital may be the costly ‘second best’ adjustment until the
arrival of more mature Eurozone institutions.
Assessing the EU Council Record: Cameron and Juncker
May Work Well Together – PIIE
The election of Jean-Claude Juncker as the next president of
the European Commission was not the only accomplishment of EU leaders in late
June.
U.K. Housing Is Economy’s Biggest Threat, BOE Says – BB
BOE’s Cunliffe:
Monetary Policy Last Line of Defense on Financial Stability – WSJ
Repo rate cut by half
a percentage point to 0.25 per cent – Riksbank
Riksbank Targets
Deflation With Bigger-Than-Estimated Cut – BB
UNITED STATES
Payrolls Jumped as U.S. Jobless Rate Fell to 6.1% in June – BB
June Employment
Report – Tim
Duy’s Fed Watch
OTHER
Global Central Banking in 2014, A Second Quarter Update
for 24 Economies – WSJ
I’m Just Now Realizing How Stupid We Are –
Fool
K is for Kruger-Dunning Effect – Psy-fi
BUBBLE?
Market conditions bear a worrying resemblance to
those of 2007 – The
Economist
BIS Annual Report
– BIS
‘Euphoric’ capital
markets are out of step with reality, warns BIS – FT
BIS warns that “euphoric” financial markets have become
detached from the reality of a lingering post-crisis malaise, as it called for
governments to ditch policies that risk stoking unsustainable asset booms.
Central Bankers,
Worried About Bubbles, Rebuke Markets – NYT
BIS warned dangerous new asset bubbles were forming even
before the global economy has finished recovering from the last round of
financial excess.
Here are the
countries showing early warning signs for banking crises – Quartz
According to the BIS report, Asia is
the region that seems to be at most risk, with China
in particular creating cause for concern. Switzerland,
Turkey, and Brazil
are also sending serious warning signals.
FINNISH
Tässäkö vaihtoehdot:
liittovaltio tai euroton Eurooppa? – Suomen Pankki
Millainen on
euron tulevaisuus? Suomen Pankin johtokunnan jäsenen Seppo Honkapohjan vieraina
ovat kansantaloustieteen professori Vesa Kanniainen ja ETLAn toimitusjohtaja
Vesa Vihriälä. Molemmat ovat julkaisseet vast`ikään kirjan euroalueesta,
Kanniainen on toimittajana ”Euron tulevaisuus” -kirjassa ja Vihriälä yhtenä
toimittajana ”EU:n suunta. Kuinka tiivis liitto?” [audio], [video].
Junckerin nimitys – ‘lisää Eurooppaa’ ja brittien
EU-ero? – Juhani
Huopainen / US