'The Threat of Insolvency': Bond Leader Pimco Sees Euro Zone in Danger

'The Threat of Insolvency': Bond Leader Pimco Sees Euro Zone in Danger

SPIEGEL ONLINE - December 20, 2010

European leaders proudly announced agreement last week in efforts to save the euro. But Pimco, the world's leading investor in sovereign bonds, says that the measures are not enough. Some countries may have to temporarily leave the common currency union. more...

Berlin's Lack of Vision: Europe Turns against Germany

Berlin's Lack of Vision: Europe Turns against Germany

SPIEGEL ONLINE - December 20, 2010

Germany's controversial approach to fighting the euro crisis has split the European Union. Some countries are complaining about Berlin's rigid course, while others accuse Chancellor Merkel of betraying the European project. The only thing they can agree on is that the EU needs Germany as a motor if it is to survive. By SPIEGEL Staff more... Comment ]


Saving the Euro: Merkel's Ironic Victory in Brussels

Saving the Euro: Merkel's Ironic Victory in Brussels

SPIEGEL ONLINE - December 17, 2010

It hasn't been an easy year for the EU, or for Angela Merkel. She played chief skeptic during the euro crisis, but the role ironically led her to forge a rescue mechanism for the continent's embattled currency. By Carsten Volkery in Brussels more...

Euro Crisis Summit: Chancellor Merkel Gets Her Way in Brussels

Euro Crisis Summit: Chancellor Merkel Gets Her Way in Brussels

SPIEGEL ONLINE - December 17, 2010

German Chancellor Angela Merkel had been heavily criticized in the run-up to this week's European summit in Brussels. But on Thursday, she got what she wanted -- a change to the Lisbon Treaty allowing future measures to combat currency crises. But will it be enough? By Carsten Volkery in Brussels more...


The World from Berlin: Unpopular Germany Faces 'Unpleasant' Years Ahead

The World from Berlin: Unpopular Germany Faces 'Unpleasant' Years Ahead

SPIEGEL ONLINE - December 16, 2010

Ahead of a crucial EU summit, German Chancellor Angela Merkel has been attacked from all sides. While many in the European Union are berating Berlin for its seeming lack of solidarity, opposition leaders at home are accusing her of dithering and populism. German commentators warn of a rough road ahead. more...

Capitalizing on the Euro Crisis: China Expands Its Influence in Europe

Capitalizing on the Euro Crisis: China Expands Its Influence in Europe

SPIEGEL ONLINE - December 14, 2010

China is seizing on Europe's debt problems to expand its influence on the continent with large-scale investments and purchases of government bonds issued by highly-indebted states. The strategy could push Europe into the same financial dependency on China that is posing a dilemma for the US. By Wieland Wagner more... Comment ]


The Battle over the Euro-Bond: Juncker Calls German Thinking 'Simple'

The Battle over the Euro-Bond: Juncker Calls German Thinking 'Simple'

SPIEGEL ONLINE - December 08, 2010

Germany has resisted calls for a joint Euro-Bond to help the euro zone's weaker members, but the chairman of the euro zone finance ministers says they need to study his proposal. Merkel's spokesman says they have. more...

Common Currency in Trouble: What Europe Should Do about the Euro Crisis

Common Currency in Trouble: What Europe Should Do about the Euro Crisis

SPIEGEL ONLINE - December 07, 2010

Euro-zone members will have to take radical measures to tackle its current currency crisis. Europe needs a far-reaching debt restructuring mechanism -- but strangely, politicians have shown a preference for issuing yet more mountains of debt. more...


Row Over ECB Handling of Euro Crisis: The Lonely Fight of Monetary Dogmatist Axel Weber

Row Over ECB Handling of Euro Crisis: The Lonely Fight of Monetary Dogmatist Axel Weber

SPIEGEL ONLINE - December 06, 2010

The head of the German central bank, Axel Weber, is openly critical of the way the European Central Bank has handled the euro's debt woes. He is fighting to uphold purist monetary principles that are untenable in the current crisis. His chances of succeeding Jean-Claude Trichet as ECB chief are waning as a result. By Michael Sauga more... Comment ]

Masterplan Fails to Calm Markets: Europe's New Debt Mechanism Has Come too Late for Euro Crisis

Masterplan Fails to Calm Markets: Europe's New Debt Mechanism Has Come too Late for Euro Crisis

SPIEGEL ONLINE - November 30, 2010

Europe is celebrating its new masterplan to shore up the euro -- a debt rescheduling mechansim that forces private sector creditors to write down government debt in some cases. Analysts say the system is overdue but won't solve the current crisis. By Stefan Schultz more... Comment ]

Fears of Euro Crisis Contagion: Portuguese Central Bank Warns of Risks to Banking Sector

Fears of Euro Crisis Contagion: Portuguese Central Bank Warns of Risks to Banking Sector

SPIEGEL ONLINE - November 30, 2010

Portugal's central bank fanned concerns about the country's financial stability on Tuesday by warning that austerity measures put in place were likely to hit banks' bottom lines. The institution also believes that bank borrowing from the European Central Bank is unsustainable. more...