Europe

Could 87% of the French Really Want A Strongman To Reestablish Order?

Americans are cynical about politicians. Congressional approval ratings were mired just above single-digit levels in 2012, hitting 10% twice. An expression of utter disdain. But the French—with their economy spiraling deeper into crisis—expressed disdain for their political class, as they call it, in another way: with a desire for authoritarian leadership, a “real leader” who would “reestablish order.”

What the Japanese Trade Deficit Says About the Fraying Fabric In China And Europe

European talking heads are reassuring us on an hourly basis, lest we forget, that the worst of the debt crisis is over. The Japanese trade deficit, a measure of reality, not words, tells a different story about the crisis in Europe. And about troubles coming to a boil in China. But neither can be cured by Prime Minister Shinzo Abe’s plan to decapitate the yen.

A Year After Declaring War On The Banks

On January 22, 2012, French presidential candidate François Hollande shook up the banks: “It has no name, no face, no party, it will never be candidate, it will never be elected, yet it governs: that enemy is the world of finance,” he said. Freed “from all rules,” it “took control of the economy, of society, and even our lives.” He’d fight it, and promised tough reforms. But these days, you’d think he is being tutored by JPMorgan Chase CEO Jamie Dimon.

German Spy Agency: Geopolitical Consequences Of US Oil Boom

Much digital ink has been spilled about the US oil & gas boom, and whether or not it will lead to energy independence, or even turn the US into an oil exporter. Now a “confidential” report by the German version of the CIA, the Bundesnachrichtendienst, seeped to the surface. It sketched out the boom’s geopolitical consequences. Biggest loser? China.

The Next Shoe To Drop In France

France’s economic foundations are cracking. Unemployment is rising incessantly. The private sector is comatose. Car sales sank 13.9% in 2012, from a lousy 2011; sales by its native automakers plunged even more. Now home sales are grinding to a halt. And the finger-pointing has already started.

A War To Reverse The French Government’s Descent Into Unpopularity Hell

Normally, the media would have given it priority: French President Hollande and Prime Minister Ayrault have become more unpopular than ever before. But the poll was shoved into the background by France’s bombing campaign in Mali—which released an avalanche of positive comments and support from all sides, at least in France. With impeccable timing.

CEO of German Multinational: Costs Of Monetary Union Too High

Bernd Scheifele, CEO of HeidelbergCement—one of the world’s largest producers of construction materials with nearly 55,000 employees at 2,500 locations in over 40 countries—lashed out against European politicians and their inability to bring budgets under control. But he reserved the most devastating judgment for the euro itself.

Russian “Black Money” Threatens To Boot Cyprus Out Of The Eurozone

German Bailout Chancellor Merkel, who is trying to avoid any tumult ahead of the elections, has a new headache: Cyprus might default and exit the Eurozone. Using taxpayer money to bail out the corrupt Greek elite or stockholders, bondholders, and counterparties of banks, or even privileged speculators, is one thing, but bailing out Russian “black money” is, politically at least, quite another.

Secret French Plan In the European War Of The Automakers

“Volkswagen has chosen to wipe out PSA,” said a source in President Hollande’s entourage. PSA Peugeot Citroën, Europe’s second largest automaker, is teetering. Volkswagen Group, Europe’s largest automaker, is an invincible giant—that wants to reduce overcapacity in Europe “on the backs of the French,” the source said. Hence a secret plan, a desperate, misbegotten, and taxpayer-funded deal.

As Cars Burn In France, The Industry Of Hope Booms

New Year’s Eve is the main event: 1,193 vehicles were set on fire. But it’s a year-round passion, with over 40,000 vehicles going up in smoke. A tradition no one has the balls to explain. In a country whose unemployment is climbing with incessant brutality, and whose automakers are bogged down with uncompetitive products in a morose market. But there’s an industry that is booming. The lottery.