European Commission President Jose Manuel Barroso

The European Union and the US will begin formal talks on a free-trade agreement, paving the way for the biggest trade deal in history.

European Commission President Jose Manuel Barroso made the announcement following President Barack Obama’s State of the Union address.

A deal would bring down trading barriers between the two biggest economies in the world.

EU-US trade is worth around 455bn euros (£393bn; $613bn) a year.

http://www.bbc.co.uk/news/business-21439945

Greek PM to meet international creditors in bid to persuade them to hand over more bailout cash

Unless Antonis Samaras can convince the economic ‘troika’ Greece deserves third instalment the country face bankruptcy
‘The troika’ consists of The EU, IMF and ECB
Greece is reportedly straggling behind in its effort to reduce their deficit
Greek bailout talks come two days after analysts reported Spain was ‘at tipping point’
Mr Samaras promised his parliament the country’s economy would be back on track by 2014

Greece’s Prime Minister Antonis Samaras is meeting with the [...]

BREAKING! EU unveils its vision for the future of monetary union, which gives them much greater powers.

European authorities have unveiled their vision for the future, which gives them much greater powers.

It includes the creation of a European treasury, which would have powers over national budgets.

European Commission President Jose Manuel Barroso said it was “a defining moment for European integration”.

Described as a 10-year plan, it is designed to strengthen the eurozone and prevent future crises, as countries grapple with current debt problems.

This week, some markets fell [...]

EU scolds US not to fall off ‘fiscal cliff’

Reuters

The United States and Japan need to tackle their tax issues and China must relax restrictions on the yuan as they share responsibility with Europe for restoring global economic health, EU leaders said ahead of a June summit of the G20 economies.

In a letter addressed to all 27 European Union nations, European Commission President Jose Manuel Barroso and European Council President Herman Van Rompuy said Europe was doing all it could.

“Europe has [...]

EU unemployment hits all-time high

EU jobless rate is at an all-time high, the European Commission warned on Wednesday.

4:12PM BST 18 Apr 2012

Average unemployment in the 27 member states reached 10.2pc in February this year, and now threatens the Union’s target of achieving a 75pc employment figure by 2020.

Announcing new plans for a “jobs-rich recovery”, the Commission said the 1.5m jobs created in Europe between 2008 and 2011 were dwarfed by the 6m jobs lost [...]

Greece cuts minimum wage as austerity drive begins

By George Georgiopoulos

ATHENS (Reuters) – Greece approved bitter new austerity measures on Tuesday, slashing the minimum wage and chopping pensions as Athens began implementing measures demanded by international lenders in return for a 130 billion euro (111 billion pound) rescue package.

With creditors pressing for swift action, the cabinet approved the cuts to the minimum wage as part of a package of measures signed off hours before parliament passed a separate set [...]

China to bail out EU

Wen Jiabao – Photo EC

(BEIJING) – China’s Premier Wen Jiabao said Tuesday his country was ready to increase its participation in efforts to resolve Europe’s debt crisis, after holding talks with EU leaders in Beijing.

Wen said China wanted to see Europe — its biggest trading partner — “maintain stability and prosperity”, a day after ratings agency Moody’s downgraded Italy, Spain and Portugal.

The two sides also agreed during the [...]

Lipstick On PIIGS: ‘Germans Fed Up With Eurobondage’

Uploaded by RussiaToday on Nov 24, 2011

European Commission president Jose Manuel Barroso and German Chancellor Angela Merkel look set for a bust up. The unelected Brussels bureaucrat wants to issue bonds to pull his single currency project out of the debt hole it’s in. Barroso has also warned the euro could collapse unless governments are more economically integrated. But Merkel absolutely opposes the proposal of collective borrowing – saying Eurobonds are [...]

EU SAYS WATER IS NOT HEALTHY

No water sold in the EU can now claim to protect against dehydration.

THE EU was ridiculed last night after it took three years to issue a new rule that water cannot be sold as healthy.

In a scarcely believable ruling, a panel of experts threw out a claim that regular water consumption is the best way to rehydrate the body. The bizarre diktat from Brussels has far-reaching implications for member states, [...]

IMF says Italy’s plans to deal with its huge debt crisis lacks credibility:

The head of the International Monetary Fund, Christine Lagarde, has said that Italy’s planned budgetary reforms “lack credibility”.

Italy agreed a limited package of budget reforms on Wednesday evening.

But the Italian cabinet failed to agree to issue a decree implementing the changes, meaning that they must now go to a confidence vote in parliament.

Ms Lagarde said the [...]

Delayed crisis plan raises stakes in euro crisis; Italy under pressure to get economy in shape

French President Nicolas Sarkozy, right, gestures while speaking with European Commission President Jose Manuel Barroso during a round table meeting at an EU summit in Brussels on Sunday, Oct. 23, 2011. Greece’s prime minister is pleading with European leaders in Brussels to act decisively to solve the continent’s debt crisis. At a summit Sunday, the leaders are expected to ask banks to accept [...]

Europe eyes bigger Greek losses for banks

By Jan Strupczewski and Harry Papachristou

BRUSSELS/ATHENS | Wed Oct 12, 2011 11:36am EDT

(Reuters) – Euro zone countries will ask banks to accept losses of up to 50 percent on their holdings of Greek debt, officials said on Wednesday, as part of a grand plan to avert a disorderly default and try to end a crisis that threatens the world economy.

Ahead of a make-or-break summit of European leaders on October 23 [...]

EU plans for coordinated bank recapitalization

(Reuters) – The European Union executive said it will draft plans for member states to coordinate a recapitalization of banks, as regulators met to check the capital buffers of stressed lenders they had granted a clean bill of health in July.

“We are now proposing member states to have a coordinated action to recapitalize banks and so to get rid of toxic assets they may have,” [...]

WARNING: EU COULD BREAK – AFP

Poland’s Finance minister Jacek Vincent Rostowski speaks during a debate on the economic crisis and the Euro at the European Parliament on September 14 in Strasbourg, eastern France. Rostowski said the eurozone crisis could wreck the European Union.

AFP – The eurozone crisis could wreck the European Union, top EU officials warned on Wednesday as the leaders of Germany and France held talks with Greece to [...]

Gold New Record High In Euros (€1,375/oz) On Greek Default And Eurozone Contagion Risk

Gold New Record High in Euros (€1,375/oz) on Greek Default and Eurozone Contagion Risk

Gold is marginally lower in most currencies and is trading at USD 1,836.60, EUR 1,350.90, GBP 1,158.90, JPY 141,320, AUD 1,779 and CHF 1,626 per ounce. Gold reached a new record nominal highs in Australian dollars, Swiss francs and euros this morning.

Gold’s London AM fix this morning was USD 1,843.00, EUR 1,354.94, and GBP 1,164.10 per ounce. [...]

Germany, France break euro bailout deadlock

Germany and France broke their deadlock over a new bailout for Greece ahead of an emergency eurozone summit on Thursday aimed at saving the euro from the worst crisis in its 12-year history.

Germany ‘missed its chance’ to attract skilled Eastern Europeans (21 Jul 11)
ECB says Greek bond purchase plan plausible (20 Jul 11)
Merkel meets Sarkozy ahead of Euro summit (20 Jul 11)

German Chancellor Angela Merkel and French [...]

REPORTS: Libyan Rebels Loot, Beat Civilians

Zintan, Libya (CNN) — Libyan rebels have looted and burned homes and abused civilians, a human rights group said Wednesday.

The New York-based Human Rights Watch said that, in “four towns captured by rebels in the Nafusa Mountains over the past month, rebel fighters and supporters have damaged property, burned some homes, looted from hospitals, homes, and shops, and beaten some individuals alleged to have supported [...]

Italy debt problem follows in Greece, Portugal, Ireland, Spain’s footsteps:

The issue of Italy’s finances is expected to be discussed at the meeting

Eurozone finance ministers are due to meet to discuss the continuing debt woes of some member states, with fears growing over Italy’s situation.

The talks come amid growing concerns that Italy may be the next eurozone country to require a European Union led bail-out.

Ahead of the meeting, German Chancellor Angela Merkel tried to ease [...]

“We can’t go on for many more days like Friday,” a senior ECB official said. “We’re very worried about Italy.”

In case you missed it, the European debt crisis escalated in Portugal and spread to Italy last week. Here are a few articles if you missed them.

Italian Yields Hit 9-Year High, Spreads Record High vs. Germany; Italy’s Finance Minister in Rent Scandal
Michael Pettis Warns of “Virulent Political Turn Against Euro”, Adds Clarification to “Gold’s Honest Discipline”
ECB Suspends Collateral Rules for Portuguese Debt, Hikes Rates .25; Trichet Says “No” [...]

Greece MP Alexandros Athanassiadis attacked by protesters after he changed his mind & voted for austerity measures

Click to play

The BBC’s Jon Sopel describes the battle between the police and rioters as one of “cat and mouse”

The Greek parliament has voted in favour of a drastic package of austerity measures intended to save the country from defaulting on its debts.

The proposed tax hikes and spending cuts have been deeply unpopular with the Greek public.

A nationwide 48-hour strike is under way and violent clashes are continuing [...]

Sarkozy warns of soaring commodity prices

French President Nicolas Sarkozy called Tuesday for tighter controls on the speculators he blames for soaring food and energy prices threatening global growth.

Saying the world had “worked extremely hard” to revive growth in the aftermath of the global financial crisis, Sarkozy said “one of the main threats to growth is the rising cost of commodities.”

The president has said he plans to use France’s chairmanship of the Group of 20 top [...]

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