sovereign debt crisis

The Fed feels politically constrained due to its own machinations in the past and the likelihood it will engage in a muscular easing policy if and when the US economy double dips. It does not want to come under attack for this Euro bank…

Central banks are taking on quasi-fiscal roles because the fiscal agent is lacking as in Europe or is unwilling to take bold steps toward a permanent solution to a systemic problem. What we need is ring fencing of core deposit-taking…

What Sinn is making plain is that Greece’s balance of payments problems would not go away if Greece were to remain in the euro zone. And this would mean more indebtedness and further transfers to Greece down the line when they get into…

The European Central Bank was once known for its focus on price stability. Since the global economic crisis, however, its role has extended to saving banks and sovereign countries. This column argues that such a move has badly harmed the…

Market sentiment continues to improve as Greek steps back from the abyss (again); RBNZ holds. EUR/USD trades near 1.38 amid improving backdrop; market likely to focus on data in today’s session. Russia’s rate move seen as technical move to…

At issue was the planned increase in the euro rescue fund to 780 billion euros from the present 440 billion.

Greece needs to default too. The right thing to have happen is for Greece to default in a hard restructuring as part of a comprehensive credible plan. The goal is to right the ship by getting all of the biggest debtors within the Maastricht…

Market cautiously optimistic amid hopes of China bond purchases and Merkel, Sarkozy conference. Moody’s downgrades two French banks; EUR resilient off the back of potential policy response. Brazilian retail sales stronger than expected;…

That was the question that RT's Lauren Lyster was asking last night. My short answer is not necessarily. The long answer is that policy makers have a lot of ways to continue the ball rolling. They can allow Greece to default and…

The dollar remains supported in choppy markets; French banks under pressure amid funding concerns. Euro zone risk premium continues to widen; Greece dances with default, tepid Italian bond auction. Banco de Mexico is likely to cut by at…