It is not just U.S. President Donald Trump who is being held to the standard that was set by the aggressive actions of President Franklin Delano Roosevelt during the opening phase of his first term in 1933. As has been true for every President since Roosevelt who has been measured by that standard (which did not exist until the first Roosevelt administration), it is a significantly unfair comparison by any measure.
It might seem a bit redundant to revisit European partisan Kool-Aid consumption after our posts of the past two weeks. Yet, there is another development outside of the previously explored persistent weakness of the Greek economy and seemingly intractable nature of its debt dilemma: the process and proposed solution to rescue Italian banks. And the weakest is the poster child for the problems not only to date, yet also how the proposed "solution" might backfire.
In my first piece of this series, I detailed some of the reasons this acquisition would benefit U.S. market structure by providing Chicago Stock Exchange with added capital to pursue new innovations and offer needed competition to the NYSE/Nasdaq/BATS oligopoly. This deal will also produce benefits that will reach people both inside and out of the financial industry. In short -- and as a lifelong Chicagoan, I’m happy to say this -- I believe this transaction will be a positive for the city of Chicago, possibly significantly.
You’ve probably heard of the financial acquisition of the Chicago Stock Exchange by Chinese business interests— the ratio of media mentions to deal value has been extreme since it was announced early last year. This is a relatively small deal and it’s getting all sorts of media attention because Chinese entities are involved.
Many economists, as well as business owners, are concerned that Donald Trump's protectionist stance is going to have a serious impact on U.S. growth, and for those with an interest in forex data and currency futures, this means depreciation of the dollar over time. Here, we look at what protectionism could mean, and whether there are other policies under Trump that may be able to offset the negative view on this in economic circles.
While it is not this week due to Monday turning into a non-deadline--might the endless game of delay in European and Euro-zone reform be encouraging the next Greek Debt and overall Euro-zone Crises? "Kick the can" has become normal operating procedure. Anyone who doubts that can just reference how many years (not just months or quarters) it has now been that ECB President Draghi has complained that the necessary ‘structural reform’ complement to ECB’s monetary stimulus has not been anywhere near as extensive as necessary to reinforce the ECB’s efforts.
That is the return of the Greek Debt Dilemma. Yep, it’s baaaaack! And the same sort of lack of consensus on the most critical steps to finally address it remain the same. After all of these years it would be reasonable to think the IMF and the EU powers-that-be might have resolved their differences on the need for more extensive Greek debt relief.