New strategy announced to protect the Euro
After one of the most difficult weeks in the relatively short history of the Euro there are still concerns that the following weeks could be volatile to say the least. European Union leaders are locked in talks regarding tighter regulations for the budgets of all member states and a greater harmonisation of economic efficiencies across the board. So are we moving towards a European state?
It looks as though in the future the European Union will take a more hands-on approach towards individual member state budgets to ensure the debacle in Greece is not repeated. Many people warned when the European Union began to grow that a large variation in spending, budgets and economic efficiencies across the board would in the end rip the European Union apart. It seems as though this potential doomsday scenario may be emerging with the European Union looking to cut its potential lifespan very short.
One of the main problems for investors at the moment is the apparent lack of unity within the European Union with German authorities placing a ban on short selling of German denominated sovereign debt bonds without consulting fellow EU members. If all parties are not singing from the same hymn book this is very bad news for the euro!
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