Here are
the best picks from my ending week’s posts. Previous “best of” here.
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EUROPE
Europe's rebalancing is not borne
by Europe – The
Economist
The
evolution of current account imbalances since the recession: China and Europe have traded places.
Who
likes European bonds?
– FT
Even though
European banks were endangered by their significant holdings of sovereign debt,
their portfolios were relatively less exposed compared to pensions, insurers,
and foreigners.
Guide to
Banking Supervision Sep 2014 – ECB
Germany Fights to Keep The Euro Zone
Together – Econmatters
The
European Court of Justice announced Sept. 22 that hearings in the case against
the ECB’s OMT-programme will begin Oct. 14. Though the process is likely to be
lengthy, with a judgment not due until mid-2015, the ruling will have serious
implications for Germany's relationship with the rest of the
eurozone.
ECB to
wait until December as Draghi buys time – TradingFloor
ECB
provided details on the ABS and covered bond purchase programmes but markets
were hoping to hear more. The lack of reaction to recent bad data and the
limited success of the ECB's action suggests that bad news will be ignored once
more. By the end of the fourth quarter, the ECB and Germany cannot continue pretending that
everything is working out just fine.
Can Europe’s mini-QE save it from a lost
decade? – WaPo
The ECB, in
effect, is becoming the lender-of-last-resort to the real economy. That's
because, with one hand, the ECB is giving banks basically free money if they
promise to lend it out, and, with the other, it's buying up their new loans.
Mario
Draghi's QE: too little for markets, too much for Germany – The
Telegraph
Mario
Draghi, the ECB’s president, seemed unable to secure backing for his €1
trillion stimulus plan from Germany
ASIA
Everybody
was umbrella fighting... – Humble
Student
In my last
two posts, I highlighted the rising tail-risk from the protests in Hong Kong (see The Big Kahuna Korrection, or
buy Yom Kippur? and HK tail-risk is rising). While the markets focuses on the
actions of the ECB and the US Employment report this week, the risk of the
derailment of one of the three key engines of global growth, namely China, is
heightened.
'Umbrella
Revolution' forces China to confront limits – Reuters
Leaders in Hong Kong need to contain the campaign for
democracy without the tools employed on the mainland to suppress dissent,
including sweeping powers of arrest, indefinite detention, compliant courts and
a controlled media.
FINNISH
EU:n talous ja
keskinäisriippuvuuden aika – Brysselin
kone / YLE
Suomen Pankin johtokunnan neuvonantaja Antti Suvanto keskustelee
mm. siitä miten hyvin euro toimii, mitä keinoja on olemassa euroalueen talouden
nykyisten ongelmien hoitamiseksi. Lisäksi hän puhuu siitä, uhkaako EU aluetta
deflaatio ja jos uhkaa, niin miten vakava ongelma se on.
EKP:n tehokasta toimintaa
tuskin tulee – Tyhmyri
Saksan sisäpolitiikka estää EKP:n toimet
Työttömyysdevalvaatio – Suomi tienhaarassa – Anders
Ekholm / Libera
"Jos näin jatketaan, luvassa on
massatyöttömyys" – TalSa
Venäjä: uhka vai mahdollisuus? – Suomen Perusta
Suomen Perusta -ajatuspajan kirjassa tarkastellaan Venäjää
sekä merkittävänä kauppakumppanina että mahdollisena turvallisuuspoliittisena
uhkana.
Valtiovarainministeriön
tulevaisuuskatsaus 2014 – VM
Vakaa ja tehokas Suomi yhdentyvässä Euroopassa
VM: Rahaliitto vie jäsenmaiden päätösvaltaa – TalSa
Valtiovarainministeriö varoittaa Euroopan rahaliiton
kehittämisen vievän talouspoliittista päätösvaltaa sen jäsenmailta.