Sovereign Debt Crisis

Bloomberg Sues Trichet & European Central Bank

Bloomberg News filed a lawsuit against the European Central Bank, seeking the disclosure of documents showing how Greece used derivatives to hide its fiscal deficit and helped trigger the region’s sovereign debt crisis. Video — Dec. 22 Bloomberg — Matthew Winkler, editor-in-chief of Bloomberg News, discusses the news agency’s lawsuit against the European Central Bank. —

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Irish Relief Fleeting as `Day of Reckoning’ Nears

Borrowing costs for Europe’s most indebted nations are at record highs as Ireland’s capitulation in accepting a bailout of its banking industry stokes concern that other countries also will have to seek aid. “It’s no longer taboo to speak about a restructuring,” said Johannes Jooste, a portfolio strategist at Bank of America Corp.’s Merrill Lynch Global Wealth Management (*at least their in good hands !) Irish Relief Fleeting as `Day of Reckoning’ Nears Borrowing costs for Europe’s most indebted nations are at record highs as Ireland’s capitulation in accepting a bailout of its banking industry stokes concern that other countries also will have to seek aid. The average yield for 10-year debt from Greece, Ireland, Portugal, Spain and Italy reached 7.57 percent today, a euro- era record. The average premium investors demand to hold those securities instead of German bunds widened to as much as 492 basis points, the highest level of 2010. The average cost of insuring against default by the five nations using credit- default swaps reached a record 517 basis points on Nov. 23. “It’s no longer taboo to speak about a restructuring,” said Johannes Jooste, a portfolio strategist at Bank of America Corp.’s Merrill Lynch Global Wealth Management in London, which oversees about $1.4 trillion for clients. “The fact that bond yields continue to rise and put pressure on countries that have to fund from the market makes investors less and less confident, and it’s bringing forward the day of reckoning.” The Nov. 22 relief rally after Irish Prime Minister Brian Cowen conceded that the nation needed financial support proved transient. Irish 10-year bond yields fell 4 basis points, before jumping 104 basis points as of 3:13 p.m. in London today, exceeding 9 percent for the first time since 1995. The euro’s respite was more fleeting; the bailout inspired a 0.8 percent gain for the currency before it slumped to …

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Gold Prices Today Slightly Down, Await China, Ireland

While it seems China’s decision has finally been unveiled on what they’re going to do to combat inflation, Irelands is still waiting in relationship to their sovereign debt crisis, and gold prices today are under slight downward pressure until that plays itself out.China has taken the initiative to increase the amount of reserves banks mus hold by another 50 basis points, something that is less

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Traders and Investors Selling the Euro

Traders and Investors Selling the Euro

Filed under: International Markets , Currency The eurozone sovereign debt crisis has bubbled to the surface again. This time Ireland is in the cross hairs. Ireland may need aid, primarily to bail out its banks. Ireland says it has enough cash to carry it through next summer, but the key concern is keeping Irish banks afloat during this crisis. So far, Ireland hasn’t requested financial aid from the European Union. This uncertainty has set off a selling spree in the euro. About two weeks ago the euro was trading at $1.42. Since the Irish crisis began the euro dropped to $1.35. Continue reading Traders and Investors Selling the Euro Traders and Investors Selling the Euro originally appeared on BloggingStocks on Tue, 16 Nov 2010 11:00:00 EST. Please see our terms for use of feeds . Read | Permalink | Email this | Comments

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Greek Deputy PM: "Debts exist to be restructured"

Call it a Freudian slip, or perhapsit was one of the first honest statements by a European politician regarding the sovereign debt crisis.According to ekathimerini.com, Greece’s Deputy Prime Minister Theodoros Pangalos spilled what could be…

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Citigroup (NYSE:C) Raises Gold Estimate to $1,450

Citing expected quantitative easing, which is another word for inflation, to be instituted by the Federal Reserve, Citigroup (NYSE:C) sees gold prices over the near and medium term to rise to $1,450 an ounce. That is based on the accurate assumption the value of the U.S. dollar and other currencies will fall against gold as they continue to be debased from the faulty policies of their central

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Citigroup (NYSE:C), UBS (NYSE:UBS) Wealthy Clients Buying Gold

Although it varies from financial institutions to financial institution, wealthy clients of Citigroup (NYSE:C) and UBS (NYSE:UBS) have been acquiring large allotments of gold, especially clients of UBS. Regional head for central, eastern and northern Europe Citigroup, Africa and Turkey, Samir Raslan, said clients are buying gold, although they weren’t going overboard on it. At the Global

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Bank of America (NYSE:BAC) Says Quantitative Easing Will Pressure Gold

In a recent note to clients, Bank of America Corp (NYSE:BAC) said quantitative easing by the Federal Reserve will put upward pressure on gold prices, as the U.S. economy continues to sputter.Bank of America said, “Since the first round of QE, precious metals have perhaps become the biggest beneficiary of money printing. In a way, gold is playing out as a second act of the credit bubble, with the

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Gold Prices Today Soar to Record High

Gold prices today surged to another record high, as gold futures for December delivery increased by $10.20 to $1,308.80 an ounce in early trading. That breaks last weeks record of $1,302.30 an ounceAt 1:00 PM EDT, spot gold had risen $14.80 to $1,309.40 an ounce, also a record.While gold usually moves up on economic bad news, when it retains support in the face of good economic news, you know it

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Barrick (NYSE:ABX) Sees $1,500 Gold in 2011

The largest gold mine in the world, Barrick Gold (NYSE:ABX), said it sees gold prices in 2011 “easily” surpassing $1,500 an ounce. Barrick CFO Jamie Sokalsky cites the underlying supports which should ensure gold continues to rise, as the reason for his optimism. Those supports include the European sovereign debt crisis which won’t go away, geopolitical circumstances, macroeconomic issues, and

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Citigroup (NYSE:C) Right on $1,300 Gold?

Citigroup (NYSE:C) said last week if we hear the phrase “quantitative easing” used by the Federal Reserve this week, we’ll probably see gold prices soar to record levels above $1,300.Investors are strongly tuned into gold now, especially in light of the ongoing disaster with the European sovereign debt crisis and weak U.S. economy.Ben Bernanke has already stated he’s ready to intervene and resume

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Gold Prices Today Hit Another Record as Rally Continues

Gold prices today surged to another record, as mixed economic data, European sovereign debt, and probably most importantly, fears over a return to quantitative easing by the Federal Reserve, continue to drive the gold price up. In the middle of the trading session gold futures December delivery moved as high as $1,284.40 an ounce, surpassing the previous intraday record of $1,279.50 an ounce and

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