Thursday 6 September 2012

HESITATION IN THE "EUROZONE" !!!


There are in fact two groups of interested parties in the "Eurozone" who are hesitating about the future !!!

First of all, Merkel and Mario Draghi are unsure how far they can go to "calm" the problems in the "Eurozone", or to be more blunt, how to save the EURO !!!  Draghi wants, or proposes, to buy unlimited amounts of Bonds issued by "embattled" countries such as Spain, and why not later Italy ?  Finally, will this really solve all the problems more than temporarily ?

Merkel wonders if she has the authority of the Constitutional Court in Karlsruhe ?  When Germany must accept or "subscribe" Merkel cannot really move unless she is authorized !!!  This is normal as her party in Germany does not have the majority.

Secondly, there is growing hesitation by "Non Euro" countries which are expected to adopt the EURO as their currency during the coming "years". 

There are 8 such countries but to be brief, all have indicated that they will delay their adoption of the Euro for the time being !!!  Simply said, they are watching closely developements in the "Eurozone".

There are currently many "contacts" and discussions among those for or against the "EURO".  These conversations are secret and never reported in the press !!! 

Finally, is the big problem not also the question whether the "Treaty on Stability" in the monetary Union should be changed or modified in view of recent developements ?

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