BULLS OR BEARS? Euro Zone Nears Moment of Truth on Staying Together; SOROS WARNS: 3 MONTHS; Retirement Age ’80’ After Crisis?
Monday morning will be decision time for traders and investors: Should they buy or sell after Friday’s steep decline that pushed the S&P 500 below its 200-day moving average?
While comments out of Europe over the weekend point to signs of a more urgent push for a fiscal union the euro zone, that may be not enough for the market that just saw the Dow turn negative for the year and the S&P 500 dip below the critical 200-day moving average for the first time since December – a level that many technical analysts view as a harbinger of more selling.
In electronic trading on Sunday, S&P 500 futures fell 0.9 point, suggesting a slight dip at the open on Monday morning.
Euro Zone Nears Moment of Truth on Staying Together
LONDON — As Spain’s economic crisis deepens and uncertainty swirls over Greece’s future in the euro zone, the guardians of the increasingly fragile European monetary union are near a moment of truth: Can they muster the will and resources to keep the euro zone from breaking apart?
The question has grown more urgent since the release of data Friday showing a record-high rate of unemployment in the euro zone, poor job creation in the United States and a manufacturing slowdown in China. Combined, those signals have fueled fears of a second global recession.
On consecutive days last week, two of the most powerful figures in Europe — Mario Draghi, president of the European Central Bank, and Olli Rehn, the most senior economic official in Brussels — warned that the future of the euro zone was in doubt. In the words of Mr. Rehn, the union might well disintegrate unless policy makers took steps to bind the euro’s 17 nations closer together.
AIG Chief Sees Retirement Age As High As 80 After Crisis
American International Group Inc. (AIG) Chief Executive Officer Robert Benmosche saidEurope’s debt crisis shows governments worldwide must accept that people will have to work more years as life expectancies increase.
“Retirement ages will have to move to 70, 80 years old,” Benmosche, who turned 68 last week, said during a weekend interview at his seaside villa in Dubrovnik, Croatia. “That would make pensions, medical services more affordable. They will keep people working longer and will take that burden off of the youth.”