The Italian government will do whatever it takes to remain in the Euro. When others outside of government talk about Italexit and the like, it is meaningless. That's the message Tria is sending.
Policy divergence is the driver of market vulnerabilities. The longer the US stands alone in tightening policy, the greater the stress on the financial system.
Since Emmanuel Macron’s election as French president in May 2017, hope has lingered that a mythical friendship between France and Germany will help complete the gaps in the euro area architecture. As this column discusses, however, history…
Two European elections – in Germany on 24 September 2017 and Italy on 4 March 2018 – warn that the peoples of Europe are drifting apart. Much of the recent deepening of these divisions can be traced to Europe’s single currency, the euro.…
Links on the Chinese reaction to tariffs, economic problems in Italy, the dangers of monetary offset for shares, and the importance of voter turnout for the midterm US elections.
Political risk in Europe is centered on outcomes in Germany and Italy. First, the SPD could decide not to participate in another coalition with Merkel. And second, the 5-Star Movement won a plurality of the votes.
A subordinated deal in a bank bailed out just a year ago and the currency at a three -year high underscore European investor confidence.
Italy's election has the potential for some surprises. The Five Star Movement, which is polling first in surveys, has pledged a referendum on the euro if Brussels does not change its fiscal rules. Berlusoni's Forza Italia and Salvini's…