Pound slumps, again!

[Suenneil]

Originally Posted by Joppa

No chance for the foreseeable future, as UK won't satisfy Maastricht Treaty's convergence criteria for monetary union because of massive government deficit. Both annual government deficit to GDP (3% vs 5.5%) and gross government debt to GDP (60% vs 100%) are running at nearly double the reference levels set by Maastricht. All three Nordic countries cited lie comfortably below those levels. UK figures lie somewhere between Hungary and Iceland!

Before I got carried away by the Salami story I was trying to find an article I read yesterday I think that held Spain up as being a prime example of why NOT to have a single EU currency.

I believe it suggested that Spain would be in a much better position to recover from the recession if it werent bound by the constraints the euro placed on it, and other EU countries.

Sue

[Suenneil]

Wall Street Journal yesterday ....

Spain's Struggles Illustrate Pitfalls of Europe's Common Currency - WSJ.com

Sue

[JBODEN]

The salami factory will double its profits and Bulgaria's GNP will double in now time at all

[JBODEN]

Originally Posted by Suenneil

Wall Street Journal yesterday ....

Spain's Struggles Illustrate Pitfalls of Europe's Common Currency - WSJ.com

Sue

The WSJ linking the Euro to Spains recession is a bit strange. Since the Federal Reserve couldn't get it right in the USA, why do they think that the EU has to. There is of course a Country called UK which isn't in the Euro which has just the same problems as Euro-zone. Anyway, wasn't it the USA that, exactly one year ago, let Lehman Brothers go to the wall and precipitated this deep global recession????

[jojo]

Originally Posted by JBODEN

The WSJ linking the Euro to Spains recession is a bit strange. Since the Federal Reserve couldn't get it right in the USA, why do they think that the EU has to. There is of course a Country called UK which isn't in the Euro which has just the same problems as Euro-zone. Anyway, wasn't it the USA that, exactly one year ago, let Lehman Brothers go to the wall and precipitated this deep global recession????

Hhmm, I take it step further back and blame Bill Clinton for precipitating the global recession!!! None of the governments ever think about the consuquences of anything they ever do about anything!!!!!!!


Jo xxxx

[SteveHall]

I blame Thatcher

[jojo]

Originally Posted by SteveHall

I blame Thatcher

Oh dear, we shouldnt talk politics!

Jo xxx

[Joppa]

Originally Posted by Joppa

Where will the pound go? I fear stg will now head towards 1.11, the next support level.

Oh, dear, my prediction was right.
Euro has hit 90p or 1.11 euro to the pound today. Talk on the market is that pound will test euro parity soon, last visited in January. They are very worried about the huge debt and the state of UK banks, and what Merv and his cronies at BOE will do next.

[Hombre]

Originally Posted by Joppa

Oh, dear, my prediction was right.
Euro has hit 90p or 1.11 euro to the pound today. Talk on the market is that pound will test euro parity soon, last visited in January. They are very worried about the huge debt and the state of UK banks, and what Merv and his cronies at BOE will do next.

It aint looking good guys...we're in freefall at the moment

[Suenneil]

Where´s KeithS .... he works in currency and usually comments on this ... where are you KeithS