Europe

CFR: Debt Fears Swirl in Italy

November 9, 2011 (Vietnamica) — Italy’s borrowing rate passed the 7 percent mark despite a pledge from President Silvio Berlusconi to quit his post once parliament passes an EU-backed austerity package. Rising bond yields and political uncertainty have raised investor fears that Italy may become the next domino to fall in the broader European debt crisis (NYT).

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CFR: Pressure Mounts on Berlusconi Ahead of Budget Vote

November 8, 2011 (Vietnamica) — Italian Prime Minister Silvio Berlusconi faced increasing public calls for his resignation (WSJ), including by his close ally Umberto Bossi. The prime minister faces a critical parliamentary budget vote on Tuesday, which is expected to determine whether he maintains the governing majority to tackle a sovereign debt crisis that is rapidly engulfing the eurozone’s third largest economy.

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Italy: One Step Closer to the Endgame

Italy: One Step Closer to the Endgame

November 5, 2011 (Vietnamica) – So the Italian government today asked the International Monetary Fund to monitor its reform program. It may or may not be coincidence that the G20 summit, which ended today, saw discussion about boosting global liquidity by the use of Magic Money – otherwise known as the IMF’s Special Drawing Rights.

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First Solar Postponed Vietnam Factory, Focused on U.S, Germany, and Malaysia Production Bases

November 4, 2011 (Vietnamica) — First Solar Inc., the world’s largest maker of thin-film solar panels, postponed plans to complete a factory in Vietnam as part of an effort to cut capital spending. First Solar will focus on completing a new factory in Mesa, Arizona, and implementing improvements to existing production lines in the U.S., Germany and Malaysia (Bloomberg, Nov 3)

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CFR: Euro Crisis Dominates G20 Summit

November 4, 2011 (Vietnamica) — U.S. President Barack Obama said the eurozone sovereign debt crisis was the most pressing task for G20 world leaders meeting in Cannes, as he called on his European counterparts to “flesh out details” (NYT) of a three-pronged solution agreed to in Brussels last week. China and Russia (DeutscheWelle), both feeling the strain of the euro crisis, also called on EU leaders to implement the rescue plan without hesitation. It includes an expansion of the temporary eurozone bailout mechanism, recapitalization of the continent’s exposed banks, and a new bailout package for Greece.

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Gold Hits 6-Week High,Papandreou “Won’t Last til Tonight”, IMF says “No Greek Loan til Referendum”but “Referendum is Dead”

November 3, 2011 (Vietnamica) — U.S. dollar prices to buy gold jumped to a six-week high of $1757 an ounce late on Thursday morning – though only 0.7% above last Friday’s close – following reports that Greek prime minister George Papandreou was on the verge of offering his resignation.

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