Draghi repels Trump’s threats, rejects Schauble’s dictums

From left to right. Vítor Constâncio, Vice-President of ECB, Mario Draghi, President of ECB, Christine Graeff, Director General Communications ECB. Draghi explained the Governing Council’s latest monetary policy decisions and answered questions from journalists at a press conference on 19 January 2017 in Frankfurt am Main. (ECB Audiovisual Services. Some rights reserved).

Mario Draghi, the President of the European Central Bank, is under mounting pressures both at home and abroad. From the other side of the Atlantic US President Donald Trump is overtly targeting a much cheaper dollar compared to euro, while at his inaugural speech he clearly praised trade protectionism by saying, “Protection will lead to […]

Germany and Europe prepare for Trump’s America

European Council - October 2016. The EU Heads of State or Government met on 20 October 2016 in Brussels. The leaders discussed relations with Russia and the situation in Syria. From left to right: Lars Lokke Rasmussen, Danish Prime Minister, Angela Merkel, German Federal Chancellor, Xavier Bettel, Luxembourg Prime Minister. In the background Teresa May, Prime Minister of Britain is seen. Shoot location: Brussels – Belgium. Shoot date: 20/10/2016. Copyright: European Union.

Germany, and more generally the EU, is now preparing in earnest to confront the groundbreaking changes in their relations with Trump’s America. Last week, both the German Chancellor Angela Merkel and her Federal minister for Finance Wolfgang Schauble, made direct and indirect statements about the policies now needed for Germany and the European Union. On […]

Deutsche Bank chased away from US, threatened with more fines

Davos, Switzerland, 20/1/2016 - Christine Lagarde, Managing Director, International Monetary Fund (IMF) and John Cryan, Chief Executive Officer, Deutsche Bank, captured during the session 'The Transformation of Finance' at the Annual Meeting 2016 of the World Economic Forum in Davos, Switzerland, January 20, 2016. IMF has labeled Deutsche Bank as a major risk to the global financial system. (WORLD ECONOMIC FORUM/swiss-image.ch/Photo Remy Steinegger. No changes made. Only some rights reserved).

The US Department of Justice settled its claims against Deutsche Bank, the biggest German lender, for packaging and selling toxic mortgage securities to uninformed customers prior to the 2008-2010 financial crisis. Initially, the Justice Department had asked for $14 billion, but it seems it settled for a fine of $7.2bn. However, this is not the […]

Draghi left alone with no hope of boosting EU growth as Merkel just focuses on next elections

ECON committee meeting. Monetary Dialogue with President of the European Central Bank.
Copyright: © European Union 2016 - Source : EP Audiovisual Service . Location: Brussels, Belgium.
Date: 26/9/2016

It was last Monday when the president of the European Central Bank (ECB) discussed with members of the economic and monetary affairs committee at the European Parliament (EP) about the EU economy in the aftermath of the UK referendum, revealing that the euro area economy shows notable adjustment properties to the global economic and political uncertainty. […]

Mario Draghi didn’t do it but Kim Jong-un did

Inauguration of the European Central Bank's new premises on 18 March 2015 in Frankfurt am Main, Germany. Mario Draghi (in the middle) cuts the ribbon. (European Central Bank Audiovisual Services).

Last Thursday, Mario Draghi, the President of the European Central Bank, was unable to move the capital and money markets with his customary monetary policy Press conference in Frankfurt am Main. On the contrary, North Korea’s leader Kim Jong-un, a global castoff, did it the next day just by pressing a button. However, it took […]

Brexit mission impossible: Theresa May was so desperate that had to appoint Boris Johnson as Foreign Secretary

Mrs Theresa May, UK’s new Prime Minister, at Justice and Home Affairs Council as Secretary of Home Affairs (European Council Newsroom, 2015)

It’s been only three weeks since the EU referendum and Britain seems to be already changing dramatically. Theresa May has already become the second woman Prime Minister in the UK’s history after Margaret Thatcher and following the resignation of David Cameron last Wednesday. The Former Home Affairs Secretary has started now forming the new government in the […]

ECB’s new money bonanza handed out to help the real economy or create new bubbles?

Discussion between Mario Draghi, President of the European Central Bank (ECB), on the right, and Jean-Claude Juncker. Prsident of the European Commission. Location: Brussels - Council/Justus Lipsius. © European Union, 2015 / Source: EC - Audiovisual Service / Photo: Etienne Ansotte.

Last Thursday the European Central Bank announced it will pump extra piles of freshly printed money into Eurozone’s banking system. The President of ECB, Mario Draghi said that he will be delivering €80 billion a month for the public bonds owned by banks for as long as it is needed. On top of this, the […]

Can the next financial crisis be avoided?

High-level seminar of the European Political Strategy Centre on the European Deposit Insurance Scheme (EDIS). From left to right, Mejra Festić, Vice-Governor of the Central Bank of Slovenia, Thierry Dissaux, Chairman of the Board of the Guarantee Fund for Deposit and Resolution, Dirk Cupei, Head of the Department "Financial market stability" at the Association of German Banks, Alex Kuczynski, Coordinator of the EU Committee of the European Forum of Deposit Insurers (EFDI), Giuseppe Boccuzzi, Director General of the Italian Interbank Deposit Protection Fund, and Joseph Delhaye, Chairman of the Guarantee Deposit Association Luxembourg. (Date: 03/12/2015, Location: Brussels – EC / Berlaymont, © European Union , 2015/Source: EC - Audiovisual Service/Photo: Etienne Ansotte).

The descent of prices in the world capital markets continued almost unhindered this past week and only last Friday financial, oil and commodity values gained some limited grounds. Altogether however, the major stock markets have erased trillions off their capitalization since last June, when the dark clouds gathered above the Chinese mega-cities of Shanghai and […]

Draghi drafts a plan to donate more money to bankers, the era of ‘money for nothin’ is flourishing

Mario Draghi, President of the ECB, delivers the Marjolin lecture at the SUERF conference organized by the Deutsche Bundesbank, in Frankfurt on 4 February 2016. Robert Marjolin was a pivotal figure in the birth of Economic and Monetary Union. (ECB Audiovisual Services).

The European Central Bank announced last week that under its extraordinary Asset Purchase Program (APP), it has injected  €712.3 billion into the euro area financial system until January this year. Out of that, €544.2bn are Eurozone government and public entities bonds, bought under the Public Sector Purchase Program (PSPP). This last plan was decided in […]

A new global financial crisis develops fast; who denies it?

Xi Jinping, President of the People's Republic of China, visited the European Commission. Jinping, in the foreground, on the left photographed here with Li Zhanshu, Member of the Political Bureau of the Central Committee of the Communist Party of China (CCCPC); Member of the Secretariat of the CCCPC; Head of the General Office of the CCCPC, on the right. (EC Audiovisual Services, Date: 31/03/2014 Location: Brussels - EC/Berlaymont).

During the last two weeks the world’s largest stock markets had a wild time not seen since Lehman Brothers went bust on 15 September 2008. The New York stock exchange in Wall Street lost more than 8% of its capitalization in a few days and then recovered some of the losses to close last Friday […]