The German High Court sustained the ESM but laid out that the BAILOUT FUND had to stick to its agreed cap (EU190 BILLION) and that as suspected any further moves to enhance the bond buying program would have to be decided by the BUNDESTAG. It sustained the position of Chancellor Merkel for the time being, thus it makes President Draghi’s move to keep the period of financing to the short-term (LTRO FOREVER) a wise strategic move. The BUNDESTAG will be under pressure to adhere to the concept of “STRICT CONDITIONALITY” as Merkel and Schaeuble will have to be very attuned to the mood of the German citizenry as the Merkel government faces national elections in 2013.
Posts Tagged ‘Bundestag’
Notes From Underground: GERMAN COURT CONFIRMS, NOW FRIENDS WITH CONDITIONS, THEN BENEFITS
September 12, 2012Tags:Brazilian real, Bundestag, corn, Dutch elections, ESM, EUR/CHF, Euro, FOMC, GCC, Gold, Kiwi, Merkel, oats, platinum, precious metals, RBNZ, SNB, soybeans, Thomas Jordan, Weidmann
Posted in Commodities, Currency, Germany | 4 Comments »