- ECB actions have helped ease market tensions
- European economy may have bottomed out
- Credit tightness is the biggest bottleneck in the Eurozone economy
- Spain has achieved needed medium-term budget balancing
- Adjustment in the Baltic states is over, growth has resumed
- EU joint bank supervision to start next year
- Yesterday’s Italian debt auction showed impact of ECB action
- IMF is committed to support Greece within the EU and the EU commission is working closely with IMF to resolve open issues
- Cutting loan rates to Greece may be a route to sustainability, but no on solution alone will be enough
- An internal devaluation in the whole EU area would lead to recession
- Working towards Sweden, Denmark joining the banking supervision which would help all in the EU
- Harmonizing deposit guarantees doesn’t mean merging funds
- Pooling deposit guarantees in EU wouldn’t boost credit
- European credit is tight on lack of demand, supply constraints
Bloomberg reporting
Ok Olli that’s enough now…
