Obama Can Breathe Easy About Greece Leaving Euro Before Elections

Wall Street Journal (blog)

Obama Can Breathe Easy About Greece Leaving Euro Before Elections Wall Street Journal (blog) By Ian Talley. The risk of a Greek meltdown before the U.S. Nov. 4 presidential elections–which would pour fuel on the flames of the euro crisis and likely trigger another recession on this side of the Atlantic– has diminished to near zero, according ...

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The euro crisis: Another southern front

WILL Spain be next? The Spanish government is trying to put off a full bail-out, but it was dealt a blow on August 28th when the regional government of Catalonia said it needed a €5 billion ($6.3 billion) rescue by the Madrid government.First it was the banks that needed help, now Spain’s second-most populous region. Bailing out Catalonia may well cost more than the requested €5 billion: it may need several billion just to cover the budget deficit until the end of 2014. A government liquidity fund has €18 billion in it, but Valencia, Murcia and other regions that are excluded from the markets are also queuing up for money. Spain can top up the fund by borrowing more—but only at punishing rates. The yield on ten-year bonds has stayed above 6% for more than three months.Not surprisingly, many think Spain will eventually need a sovereign bail-out. In public, officials claim this is not being negotiated. European leaders instead praise the reforms and austerity of Mariano Rajoy, the prime minister. Yet Spain is plunging into a double-dip recession. The economy shrank at an annual rate of 1.3% in the second quarter. Bank deposits dropped by 4.7% in July. Consumption is falling at an annual rate of 3.9%. Unemployment remains stuck at around 25% of the workforce (and 50% for youths).Meanwhile in bailed-out Greece the government was relieved when the first trip abroad of Antonis...

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Germany sees Greek, Spanish influx as crisis worsens

Germany sees Greek, Spanish influx as crisis worsens Reuters BERLIN (Reuters) - An increasing number of Spaniards and Greeks are working in Germany as their own countries, hit by the euro zone debt crisis, struggle with record unemployment levels, preliminary data from Germany's Federal Labour Office showed on ... and more »

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Farmer assaulted claiming stolen livestock

A stockbreeder and his wife from the village of Palabas, near Igoumenitsa, in northwest Greece, were reportedly assaulted by a group of local residents in the Albanian border village of Janjari when they crossed the Greek-Albanian frontier to claim 32 cattle and 87 goats and sheep stolen from them several days ago.

The incident, which occurred on Aug. 24, was disseminated by Albanian media and reported to authorities in the neighbouring country.

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France says EU must back Greece if it shows progress

France says EU must back Greece if it shows progress Reuters MADRID (Reuters) - European leaders should show support for Greece at an October 19 EU summit if the crisis-hit country's conservative government shows commitment to move ahead with economic reforms, French President Francois Hollande said on ... and more »

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Greek money abroad to be taxed

An agreement between Greek and Swiss leaders regarding the taxation of hidden Swiss accounts owned by Greeks is near completion. The ministry of finance hopes to gain 4-6 billion from the taxation of these accounts, according to To Vima.

The contract between Greece and Switzerland would be similar to agreements that Switzerland has signed with Germany, the United Kingdom, and other governments, according to German newspaper Der Spiegel.

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Samaras heralds progress

Greece must avert a return to the drachma currency, Prime Minister Antonis Samaras told a meeting of his New Democracy (ND) party's political committee on Thursday, adding that the 'drachma lobby' is the rival of the country and the party.

He stressed the need for taking the painful 11.5 billion euro measures, and said that "this package will be the last".

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Merkel in Control Despite Allies' Greek Cacophony

ABC News

Merkel in Control Despite Allies' Greek Cacophony ABC News Chancellor Angela Merkel wants the Greeks to keep the euro. Her vice chancellor says it wouldn't be so bad if they abandoned the common currency. Another ally says Greece should leave the euro club within months. Merkel's image abroad may be that of ... and more »

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Greek PM says new austerity round will be the last

euronews

Greek PM says new austerity round will be the last Boston.com Greek PM says new austerity round will be the last. AP / August 30, 2012. E-mail |; Print |; Reprints |. Text Size: –; +. E-mail. E-mail this article. To: Invalid E-mail address. Add a personal message:(80 character limit). Your E-mail: Invalid E-mail ... Greek coalition leaders back outline of new austerity measures needed to stave ...Washington Post Greek Budget Cut Plan Has Basically Been FinalizedWall Street Journal all 320 news articles »

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Greece's prime minister promises that new $14.4 billion austerity measures ...

Bradenton Herald

Greece's prime minister promises that new $14.4 billion austerity measures ... Washington Post ATHENS, Greece — Greece's prime minister has promised that a new round of painful austerity measures planned for the next two years will be the last for the recession-mired country. Antonis Samaras told a meeting of his conservative party's officials ... Greece's Coalition Government Rushes for Agreement on CutsBusinessweek Greece grinds onFinancial Times Greece's Austerity Talks End Without AgreementLoanSafe Bradenton Herald all 318 news articles »

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Greece to Meet Troika Heads

Greece to Meet Troika Heads NASDAQ ATHENS--Greece's Finance Minister Yannis Stournaras will meet the heads of a delegation of international inspectors on Sunday, as the country works on finalizing savings worth 13.5 billion euros ($16.94 billion) in time for the visit, a finance ...

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China's Wen calls for action on Europe debt

BEIJING (AP) — Chinese Premier Wen Jiabao expressed alarm Thursday about Europe's debt problems and called on Greece, Spain and Italy to embrace budget cuts and other reforms following a meeting with visiting German Chancellor Angela Merkel.

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Merkel in control despite allies' Greek cacophony

Chancellor Angela Merkel wants the Greeks to keep the euro. Her vice chancellor says it wouldn't be so bad if they abandoned the common currency. Another ally says Greece should leave the euro club within months.

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Merkel in control despite allies' Greek cacophony

Merkel in control despite allies' Greek cacophony

Associated Press


Copyright 2012 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Updated 11:48 p.m., Wednesday, August 29, 2012

The chancellor still appears in control of the delicate balancing act she has performed for two years: to help struggling countries that accept tough budget cuts and reforms while convincing Germans she is defending their interests — and wallets.

Manfred Guellner, head of the Forsa polling agency, said that "people appreciate Merkel and in the end go along with her course" in hopes that the economic problems gripping much of Europe won't affect their lives.

The three-year-old coalition of Merkel's conservative Christian Democratic Union, its Bavarian sister, the Christian Social Union, and the pro-market Free Democrats has squabbled endlessly and inconclusively over issues as diverse as tax cuts, privacy laws and highway tolls.

Raising questions over Greece's future in the euro offers hopes of political gain to some in Germany's two junior coalition parties, which both face domestic political challenges, though Guellner cautioned that "no party in Germany has ever been able to score points with the euro and the issue of Europe."

The Free Democrats won nearly 15 percent of the vote in Germany's 2009 election, but have slumped to around the 5 percent needed to win seats in Parliament — a contrast with the solid ratings of Merkel's CDU, which consistently leads polls.

Just a day after Merkel asserted, while standing next to Greece's prime minister, that she wants Greece to stay in the eurozone and that others in the coalition do as well, CSU general secretary Alexander Dobrindt was quoted as telling the mass-circulation Bild am Sonntag newspaper that "there is no way past a Greek exit from the Eurozone."

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Greece Makes Late Push on Cuts

Greece's political leaders appeared close to agreeing on a package of austerity measures, with a deal expected before inspectors from its international creditors arrive in Athens next week.

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