Recently in Europe continue to ferment in addition to the debt crisis, the addition of a new hot spot – the French elections. But really attract the eye, not the election itself, but along with the election of the French domestic policy changes, as well as coping strategies of the EU debt.
Important signal (with shares) the flow of institutional funds, drastic DELL INSPIRON 6000 battery changes in the main release! Found that the stock market confront important law and high-speed analysis of the main holdings of the latest direction! Greek voters by voting on Sunday expressed strong opposition to the ruling party and its support of the austerity plan, its left-wing coalition seeking to overthrow the austerity plan to the significant increase in the percentage of votes in the election could become the second largest political party in the parliament. Hollande win in the presidential election will become the first President of the Socialist Party in France nearly 20 years, its commitment to change the way the euro area to deal with the debt crisis.
European elections to promote Asia as investors sought a safe haven,DELL INSPIRON 500M SERIES battery leading euro against the dollar and yen both lower. Japan’s stock market also fell sharply, the Nikkei Index fell to its lowest level since February 15. In addition, investors are still digesting the disappointing U.S. payrolls data; the data after the announcement, crude oil prices lower. Commodity stocks also fell sharply.
Greek political leaders had been in order to win a relative majority of votes sufficient to form a coalition government and running around shouting, the country’s voters in the general election not buy votes to the political parties that do not support the EU assistance measures, which makes the outside world again suspected of whether the country has the ability to take the necessary measures to maintain its position of euro area member states.
From Europe and the United States recently announced data signal in the second IBM THINKPAD T40 SERIES battery quarter after the global economic slowdown is gradually increased. In the context of the economic downturn, calling for economic growth rather than left-wing forces of the austerity measures increased significantly in Sunday’s election in France and Greece, which might promote the European policy focus from the financial crunch to stimulate the economy, which is the control of Europe’s debt crisis level step backward.
Overseas media analysts believe that investors will turn its attention this week across the Atlantic to Europe, from France and Greece, the general election to find investment guidelines. Reported that the local time on the 6th, the French Socialist Party leader François Hollande, may beat the Conservative Party candidate Nicolas Sarkozy, the situation will some investors sounded the alarm. Hollande win, France could become a major obstacle to Europe, the full implementation of austerity measures action. Also helping the market nervous is that the Greek political parties opposed to receiving assistance, if substantial gains in the general election, which will further increase the political risks of reform.
To power Hollande take over basically a mess. The country’s economic HP F4809A Battery growth is almost stagnant, jobless claims reached the highest level in 12 years, while increasing government debt also makes the country’s financial situation became precarious in the European debt crisis backdrop.
In addition, the tightening of the economic recession has become the most important issue in Europe. Nobel Laureate Joseph Stiglitz, Krugman, or investment tycoon George Soros, issued the same warning: excessive tightening would be suicidal. Addition can be seen from the recent European Union and the European Central Bank head of the attitude of their policy shift from the full response to the crisis to take into account the economic growth. However, growth is not to talk about will be able to achieve.
Change significantly in view of the political map of Greece, the most decentralized public opinion since this time the Greek military junta since 1974, was destroyed and the restoration of democracy after the parliamentary elections, negotiations on the formation of a multi-party coalition government will be very difficult. However, by the prospect of negotiations to form a government seems more remote, therefore, shortly after Greece may need to hold a new round of elections.
Analysts said that the Greek election results generated a great deal of uncertainty, Greece, the ruling party New Democratic Party and PASOK joint is unlikely to produce a viable government, and Greece in the implementation of the new reform measures will likely face many difficult.
Today, the European elections has become Europe’s most important events, of which the smoke is still unknown dissipated, the euro has gradually got onto the edge of the cliff, the future worthy of consideration.
Non-farm drama ended sadly European Economic recession is a fact
The latest U.S. April non-farm job growth again fell short of expectations, a record in October last year to a new low, but the unemployment rate fell to 8.1 percent, its lowest level since January 2009. Mixed employment report of long and short sides into a see-saw, the major currencies fluctuated. Into fluctuated due to the April payrolls report were mixed, after the data release, major currencies, the dollar index was refresh intraday high of 79.36, but then fell again, the main movements of Africa and the United States stalemate.
European finance ministers meeting this week to seek consultation reasons for forcing banks to increase the capital of the details, and decided that some countries can ask for the banking sector to raise capital, they failed to reach agreement, but the safety of the banking sector more suspected . In the U.S., the Federal Reserve quarterly survey of bank officials have done credit conditions are improving.
The development of Europe and the United States because of two factors, and financial conditions, it is very important. In each area, the United States has done better.
U.S. April non-farm jobs increased by 115,000, the increase is far below the market consensus forecast of 170,000, which is also lower than in March from an upwardly revised increase of 15.4 million, the U.S. April unemployment rate was 8.1%, pre- estimated as 8.2%. Before the release of the nonfarm payrolls report, the United States also announced a series of weak economic data, the lighting of the Federal Reserve will introduce more monetary easing speculation.
French bank Societe Generale in Paris, foreign exchange strategist said, "At present, the landslide of the job market and the economy weakening trend and we expect second quarter growth will slow, is also expected corporate earnings growth will slow down." Survey shows that euro area economic conditions April is the rapid deterioration in the implied degree of recession or are less than previously expected. Announced last week the euro zone April PMI index fell to three-year low unemployment rate rose to a record high of 10.9 percent.
Analysts had forecast 170,000 new jobs in April, the actual figure is much lower than expected, may be more to improve the U.S. Federal Reserve Board to increase the probability of stimulus measures. The major U.S. stock indexes fell, the S & P index. SPX fell more than 1.5%, the benchmark U.S. bond yields fell to the low of a few months. However, this report is not all bad news. Department of Labor on repair, new jobs in February and March data, the total was revised to 53,000.
San Francisco Fed President Williams said that the current policy "just right"; the main Xipuluosuo of the Philadelphia Federal Reserve said the third round of quantitative easing policy "is not good policy options. The Atlanta Fed’s main 席洛克哈特 the Fed QE3 should be used only as a "spare". However, Fed Chairman Ben Bernanke is still cautious. Bernanke on the Wednesday had said the U.S. economy will be how to develop still exists uncertainty, QE3 is still one of the Fed policy options.
Last Friday, the chief investment officer of Pacific Asset Management Company Gross Although the Fed to issue more currency to stimulate economic growth, the possibility of small, but if the U.S. unemployment rate has been high, the Fed still may choose to further quantify loose. Gross said the Fed to make a choice, but the next few months, the unemployment rate data is still weak, QE3 will be put into practice.
In addition, Jens Nordvig, head of foreign exchange strategy at Nomura Securities in New York, said: "we focus on empty for the euro / U.S. dollar transactions in the past two weeks, and now beginning to bear fruit. Hollande win may be the catalyst for euro weaken further, depending on Hollande speech, the Greek political parties and supporting and opposing the rescue plan to obtain half the seats will the euro, the euro over the next few weeks, fell below $ 1.30 there is a strong possibility. "
At present, the non-farm drama has ended, economic data is also a mixed picture, did not play a good role, while the European economic recession has become a reality, it is beyond doubt, the future operating Europe / America should be careful Do not be too hasty, and now positive during the European elections, more needs to be careful.
