Subscribe to Money Morning get daily headlines subscribe now! Money Morning Private Briefing today's private briefing Access Your Profit Alerts

Europe

Article Index

How Much Does Greece Owe? 4 Charts That Put Greek Debt in Perspective

how much does Greece owe

Greece is on track to run out of money in two weeks.

Unless officials can alter its current burn rate, the Mediterranean country will hit a cash wall on April 8, according to German newspaper Frankfurter Allgemeine Sonntagszeitung.

Exactly how much does Greece owe?

The country is 323 billion euros in debt ($352.7 billion) - more than 175% of its GDP.

These four charts help to put that number into perspective...

Euro-Dollar Parity Gets Closer as Euro Sinks to 12-Year Low

euro dollar parity

The march to euro-dollar parity continued today (Wednesday) as the currency slipped below $1.06 for the first time since 2003.

In January, our 2015 euro forecast saw euro-dollar parity happening sometime in the first half of 2016.

It's fallen 12.6% in 2015. And it's still got a ways to go...

Swiss Franc Hurts Homeowners but Could Be a Boon for Investors

When the Swiss National Bank de-pegged from the euro last month, the fallout was massive.

One dramatic example of its impact was that felt by Miami-based hedge fund manager Everest Capital. The firm's largest single fund lost nearly all its capital, $830 million in assets, thanks to heavy bets that the Swiss franc would decline.

Alpari U.K., a foreign exchange broker, became insolvent. New York's FXCM, an online foreign exchange trading firm, got a $300 million lifeline from Leucadia.

But just like the subprime mortgage debacle in the United States, small retail investors are caught in the crosshairs too.

Don't let yourself be one...

Why the European Central Bank's Massive Economic Experiment Will Fail

Eurozone conflict

Last week, the European Central Bank's turn finally came to announce large scale quantitative easing.

As the continent witnesses a battle between deflation and attempts at inflation, will it finally be enough?

Europe is following in the footsteps of the United States, hoping for similar "successful" results.

Instead, it's likely to fall somewhere between the U.S. and Japan.

From the Land of the Rising Sun there is precedent, but it's a forewarning.

Here's the story...

How Europe Will Help Gold Shine Again

Gold doesn't have many allies at this point. But one accidental ally is the Eurozone's financial crisis.

Troubles in Europe spell opportunity for gold stocks and bullion. And there's plenty of trouble in Europe.

See where smart investors are already making big gains on the rising volatility...

Why the ECB's Plan Can't Save Europe

So, Thursday was a big deal. Did you get that?

Markets rallied around the globe, especially European markets and U.S. markets.

But did you get what really happened?

I know you saw the rally, and I'm sure it lifted your spirits. It lifted mine for about a day - that is, until I lifted up the ECB's skirt to see if their provocative language would leave Europe's knickers in a twist or not.

If you're not the kind of person to look at such intimate things too closely, don't worry. I love all that stuff and am driven to know how all the bits and pieces come together or apart. So, I'll tell you what I saw up there.

Europe's knickers certainly are twisted. So much so that if an ill wind blows, everyone is going to see the naked truth.

Let me show you what I mean...

To continue reading, please click here...

Commodities, Europe's Winter Storm and NIKE Inc. (NYSE: NKE) Hint to 2011 Market Trends

Stocks rose last week with all the excitement of water turning to ice in the freezer.

I kept hitting the side of my monitor to see if the pixels were stuck -- but no, it was just another one of those low-volume, low-drama late-December sessions that we have come to know and love.

The Dow Jones Industrial Average rose 0.12%, the Standard & Poor's 500 Index fell 0.16%, the Nasdaq Composite Index fell 0.08% and the Russell 2000 small caps fell 0.2%. Overseas developed and emerging markets were exactly the same. The liveliest U.S. sector was health care and basic materials, up 0.2%, while financials and industrials lagged, down 0.4%.

Breadth slightly favored decliners over advancers by a 3-2 margin, and the number of new highs was way down at 394 -- yet so was the number of new lows, at 34. Gold fell by 0.4%, crude oil jumped out to a new two-year high by 1.1%, to $91.51, and the grains jumped to a new one-year high as well, led by corn.

To see what commodities and other sectors are hinting at for 2011, read on...

Fed's "QE2" Could Fuel Inflation in U.S. & Deflation in Europe

The U. S. Federal Reserve's latest round of quantitative easing (QE2) may further escalate the currency war by producing a crippling bout of deflation in Europe and conversely, another period of inflation on the domestic front.

The diverse results are possible because further Fed purchases of debt are likely to re-ignite economic growth and increase prices in the United States, while a surging Euro will make it more difficult for European countries to pay off debt.

Fed purchases of Treasuries to stimulate the U.S. economy could send the euro rising against the dollar, sparking deflation in Europe, Nobel Prize-winning economist Robert Mundell told Bloomberg News.

Read More…

Taipan Daily: The "Secret" Global Alliances That Can Make You Rich

I have a confession to make… I'm a big Harry Potter fan. Last night, I was re-watching Harry Potter and the Goblet of Fire. In this movie, Hogwart's School of Witchcraft and Wizardry hosts the Tri-Wizard's Cup, an Olympics, of sorts, for witches and wizards from international schools. Its purpose is to promote international magical […]

Read More…

How to Profit From Europe's Stealthy Resurgence

European countries - both inside and outside the Eurozone - are slashing their budget deficits. Sure, some - like Greece and Spain, have to. But others are too. And here's the surprising reality: Europe may gain from its fiscal pain - and its deficit-trimming actions offer the best hope for a lengthy recovery. Find out how, in this free report.

Read More…

Europe: The Investor Escape Hatch From the U.S. Recession

When I speak with the U.S. subscribers to my Permanent Wealth Investor advisory service, there's one bit of wisdom that I repeat time and again: Just because you're living through a recession doesn't mean that your money has to.

If that's a high-falutin way of telling folks to invest globally, so be it. The reality is that there are other places to invest than in the U.S. economy - and many of those "other" spots offer much better returns.

Take Europe...

To discover four investments that will let U.S. investors profit from Europe's continued turnaround, please read on...

Germany's Export Reliance Edges Out European Neighbors

By relying on exports and not promoting domestic demand, Germany is creating a lopsided recovery that is hurting retailers and foreign exporters.

While Germany's exports continue to surge, its consumers are refusing to spend. The government has failed to raise wages or encourage consumption and says it has few plans to do so.

"By cutting its budget deficit and resisting a rise in wages to compensate for a decline in the purchasing power of the euro, Germany is actually making it more difficult for other countries to regain competitiveness," billionaire investor and cofounder of the Quantum Fund George Soros said in a speech on June 23 in Berlin. Germany is "the main protagonist" for Europe's debt crisis, he added.

Germany's economy - four times more reliant on exports than is the United States - posted the highest second-quarter growth in the Eurozone, growing by 2.2% in the second quarter from the first. The country is headed for about 9% growth this year.

Read More…

Investing Strategies: How to Build a Global-Investing Portfolio Using ETFs

It wasn't all that long ago that global investing was an activity that was restricted to only the wealthiest U.S. investors. If you weren't one of America's ultra-rich, you weren't able to access foreign markets.

That began to change in the 1950s, with the advent of international and global mutual funds, and access further expanded over the next three decades with the introduction of single-country closed-end funds. Today, thanks to the recent explosion in exchange-traded funds (ETFs), investing in overseas stocks is now almost as easy as targeting a given market sector here at home.

In fact, although it has been a mere 17 years since the first ETF began trading in the United States (in 1993), the most recent count finds more than 290 international, regional and foreign-country-focused funds listed on the various U.S. exchanges - enough to entice any investor with even a modest yen for overseas portfolio exposure.

Read More…

BP's Offshore Plans Spark Talk of Drilling Ban Among Concerned European Nations

BP PLC's (NYSE ADR: BP) plans to drill for oil and gas off the coast of Libya within weeks has caused nearby European countries like Italy to sound the alarm for a drilling ban until they ensure the safety of surrounding waters.

Italy's Environment Minister Stefania Prestigiacomo was the first European Union official to suggest a drilling ban to give nations around the Mediterranean Sea time to coordinate a drilling policy.

"A moratorium could be a right approach for potentially dangerous drilling...to give Europe time to define a new and specific strategy for the Mediterranean especially in light of the risk exposed by the Deepwater Horizon spill," Prestigiacomo wrote to the Financial Times.

BP has a rig in Libya's Gulf of Sirte, about 500 kilometers from Italian and Maltese territory. The first of five planned wells will be about 200 meters deeper than the Macondo well that spewed as much as 184 million gallons of oil into the Gulf of Mexico for almost three months.

Read More…

Firms Bail on the EU to Avoid Bank Pay Regulations

The European Union (EU) today (Wednesday) approved one of the toughest worldwide bank pay regulations to date, hoping to rein in risk-taking and prevent another widespread financial crisis. However, in doing so, it increased the likelihood that financial firms would set up shop in other countries with less stringent regulations.

The European Parliament voted overwhelmingly for the restrictions, in a 625-28 approval at the Strasbourg, France meeting.

"The banks have had two years since the 2008 financial crisis to do this and have failed to act, so now we will do the job for them," Arlene McCarthy, a member of the European Parliament and the sponsor of the bill, said in an e-mailed statement to Bloomberg. "We want banks to focus not on their own pay and perks, but more on lending and support to economic recovery."

Read More…