Debt crisis: Brussels accord on the verge of collapse

Telegraph UK ^ | 12/15/2011 | Louise Armitstead, Philip Aldrick & Ben Harrington

[Qbert]

Some of the world’s most powerful investment banks were downgraded by ratings agency Fitch as Germany’s cherished European fiscal compact appeared to be unravelling.

[Snip]

Credit ratings of the world’s biggest lenders have come under pressure as weak economic growth and concerns about whether European politicians have done enough to end the Eurozone debt crisis.

[Snip]

Meanwhile, Germany’s attempt to save the Eurozone was hanging in the balance as Hungary and the Czech Republic claimed it would be damaging and protesters in Warsaw demanded Poland stands firm against Angela Merkel.

Amid fresh warnings that Europe is triggering a 1930s-style global depression, the German chancellor faced open rebellion against the key plank of her Brussels accord. The leaders of Hungary and the Czech Republic told a joint conference in Budapest they were ready to reject the planned treaty changes and implied move towards a centralised tax system. Czech prime minister Petr Necas said he was “convinced that tax harmonisation would not mean anything good for us”.

Hungarian prime minister Viktor Orban said that central Europe had the potential to become the most competitive region in Europe. “The only kind of co-operation we can have with the eurozone is one which does not damage Hungary’s competitiveness,” he said.

Poles marched under banners that read: “We want sovereignty, not the euro.” They were protesting against the Brussels deal that could see EU countries, including those outside the eurozone, face penalties for breaking tough centralised spending laws. Britain used its veto in Brussels, sparking an intense backlash. Ireland and Sweden are also nervous about the fiscal pact, but Germany and France still expect the other 26 members, minus the UK, to approve it.

[RS_Rider]

[GonzoGOP]

So how much will the stock market go up on the news. It goes up when they reach and agreement, then goes up again when it falls apart.

[ExtremeUnction]

The Euro is doomed. How will its collapse affect the U.S.?

[blueunicorn6]

Hopefully, Brussels sprouts some soon.

[Georgia Girl 2]

“The Euro is doomed. How will its collapse affect the U.S.?”

Coming to a banking center near you soon.

[Buckeye McFrog]

Unfortunately it will likely buoy the economy in the US, since even our dimmed prospects will look good by comparison. And I say unfortunately because that will also buoy Barry’s re-election chances.

[Made In The USA]

Brusesels will sprout - and when it does I’ll write some big investment Czechs.

[dfwgator]

Brusesels will sprout - and when it does I’ll write some big investment Czechs.

And then everyone will be Russian to their banks.

[Moltke]

Well, it's the UK Telegraph, so anything they write with regards to (continental) Europe has to be taken cum grano salis. That said, it's astonishing that the eastern European countries that were just recently admitted to the EU (by their own request - the previous members didn't exactly *beg* them to join...) would now be so vocal with anti-EU sentiments, or so the Telegraph would have us believe.

I for one welcome the accession of the new EU members, since they, at least, have not fallen hook, line, and sinker for the "multicultural" (i.e., muslim immigration) agenda foisted upon western Europe by its traitorous politicians, and they provide some push-back to that.

[Qbert]

"Unfortunately it will likely buoy the economy in the US, since even our dimmed prospects will look good by comparison."

Buoy the US Dollar, yes; the US economy, no.

[MontaniSemperLiberi]

Germany’s welfare state battles Hungary’s and the Czech Republic’s welfare states.

[MontaniSemperLiberi]

Don’t worry. As we go through Big Government default our government will only grow bigger and more powerful.

[PLMerite]

Okay, the Grinch on the right I recognize. Who’s on the left?

[RealImmigrant]

The end of the EU would be the economic boon that will fix economies worldwide...as long as the US and other nations do not bail out the banks with EU debt

The Free Trade Communist Globalists who support entities like the EU will pee and moan....but the world is moving away from Free Trade Communist Globalism. It does not work...national economies need to be competitive to grow

Sad is that we have idiots in this country who want to emulate the EU via NAFTA, North American Union, and other entites. Free Trade Communist Globalists are not the brightest.

[RS_Rider]

That’s Christine Lagarde, head of the IMF.
Separated at birth from the grinch.

http://edition.cnn.com/2011/12/15/business/imf-chief-warning/index.html

She held the door while the grinch got both servings of looks.

RS