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Clouds gather over new eurozone deal

China, investors still cautious on Europe’s bonds


 

Eurozone leaders are struggling to preserve the optimism with which financial markets initially welcomed a new comprehensive deal to bail-out Greece and shore-up other high-debt countries announced on Thursday morning. Shortly after the agreement was made public, French President Nicolas Sarkozy told reporters that China had “a major role to play” in ensuring the new emergency financial tools would work, Reuters reports. As of Friday, though, Beijing has yet to express any concrete commitment to continuing to buy bonds issued by the European Financial Stability Facility. Thursday’s agreement also failed to reassure investors about Italy, whose borrowing costs rose to record heights at a government bond auction on Friday. Spain was also under financial market pressure.

Reuters


 
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Clouds gather over new eurozone deal

  1. Afghanistan has been called “The Graveyard of Empires,” but a fair share of empires have died in the Balkans, too, including all the empires that existed in Europe on the eve of World War I. I don’t know what the leaders of the European Union were thinking when they decided to let ANY of the Balkan countries in the EU, including Greece. Nobody should be described that the Greeks are screaming about “loss of sovereignty.” Let’s just hope that the monetary crisis in Greece doesn’t lead to a resurgence of terrorism, for which the Balkans are so infamous. 

  2. Another bandaid…it may last a few weeks…or not.

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