Google Analytics

Saturday, September 29

28th Sep - European stocks dumped on Italy



Follow ‘MoreLiver’ on Twitter

EUROPE
Antonio Fatás: Europe's fiscal policy doom loopvoxeu
The damage done by procyclical fiscal policy in the euro area between 2010 and 2014 is likely to be even larger than previous studies have suggested. The column argues that fiscal policymakers at the time created a 'doom loop', with unfounded pessimism feeding into policy, and the consequences of those policies increasing pessimism. This has created hysteresis, permanently reducing GDP.

Jean Pisani-Ferry: One Club Does Not Fit All in EuropeProject Syndicate
The biggest risk for the EU is to remain mired in outdated structures and to succumb to inertia. If it is to survive in a rapidly changing and increasingly challenging world, the EU needs a new model of European integration that abandons the principle of "ever closer union."

  ITALY
Italy Defies Europe, Agrees On 2019 Budget Deficit At 2.4% Of GDP – ZH
Italian Stocks Fall, Bond Yields Soar Amid Budget Deficit Liquidation Panic – ZH
Editorial: Italy Puts the European Project at Risk – BB
Mark Gilbert: Italy Scalds Bond Investors in Replay of Greece – BB
Italy tests the EU’s tolerance – Pictet
Europe Warns Of Debt "Explosion", Threatens Savers – ZH
Italy’s Extraordinary Act of Self-Harm – BB
 

UNITED STATES
The 2018 Midterms – Three scenariosABN AMRO


OTHER
Ray Dalio: Why Do Debt Crises Come In Cycles?ZH

Fiscal space, government spending, and tax rate cyclicality patternsvoxeu
The upward trajectory of policy interest rates in OECD countries will impose growing fiscal challenges, testing their fiscal capacity for countercyclical policy and thus their resilience. This column compares fiscal cyclicality across countries and identifies measures of fiscal space. The results reveal a mixed fiscal scenery, where more than half of countries are characterised by limited fiscal space, and fiscal policy is either procyclical or acyclical.

A rational backlash against globalisationvoxeu
The vote for Brexit and the election of protectionist Donald Trump to the US presidency – two momentous markers of the ongoing pushback against globalisation – led some to question the rationality of voters. This column presents a framework that demonstrates how the populist backlash against globalisation is actually a rational voter response when the economy is strong and inequality is high. It highlights the fragility of globalisation in a democratic society that values equality.


REGULARS
EU Open RundownRANsquawk

Brussels Edition DailyBB

Eco Day EuropeBB
Italy's Budget Fracas, Tariffs Hit U.S., India Spirits

FirstFT Daily Briefing FT

WSJ Daily EconomicsWSJ
Has the U.S. Economy Already Peaked?

Danske DailyDanske Bank

Daily Market CommentMarc Chandler
Dollar Remains Firm While Italy is Punished

Brussels PlaybookPolitico
Italy’s big bet — Friends and frenemies — More Parliament power plays

Five Things You Need to Know to Start Your DayBB

US OpenZH
US Futures, Global Markets Slide As Italian Chaos Returns

US Open RundownRANsquawk

AamukatsausNordea
Italian hallituksen budjetin alijäämätavoite oli odotettua suurempi | Tänään saadaan inflaatiolukuja sekä euroalueelta että USA:sta | Euro heikentyi uusien Italia-huolien myötä, dollari vahvana