Posts Tagged ‘Mercedes’

Notes From Underground: The Reign of Terror is Over as Maximilien Robespierre TRICHET is Slain

November 3, 2011

Today the new President of the ECB, Mario Draghi, established himself as a true leader and moved to undo the damage of the über arrogant Jean Claude Trichet. The two rate increases in the last six months by the European bank were an overshoot of mammoth proportions as the peripherals were in the midst of a severe credit crisis and moving toward austerity budgets. Spain, which maybe in the worst condition of all–21.5% unemployment and a deflating housing market–was not in need of a EURIBOR increase as its mortgage rates float in reference to the bank rate. If Trichet did not understand the depths of the credit crisis then he should have never been the ECB president. It was always reported that the ECB decisions were unanimous, but today’s move by Draghi indicates that Mr. Trichet rode roughshod over the bank’s policy making for it was reported that it was a 25 basis point decision by unanimous consent.


Notes From Underground: the IMF gathers in Washington D.C.–guns or knives

October 6, 2010

Let’s get the IMF and G-7 noise out of the way. As usual, we will hear and read about all the brotherly love that will be shared at the IMF gathering but in the present situation we will be having none of it. The acrimony in the international arena on all economic issues isn’t going to be assuaged over cocktails and photo ops. Last year we heard about all the agreements that had been reached on global  financial regulations and of course the prevention of currency manipulation and intervention. In a year all of that has been relegated to trash heap. The emerging world has been asking for free trade and have been rebuffed. China will bear the brunt of the major currency manipulator but many others are seeking to join the Chinese.