Austerity and Ireland’s sacrifice of growth (and tax revenue)…

Stephen Spillane sums up the dilemma of all political parties in the Republic, when he notes the latest word from the IMF… We have no choice but to cut. The deficit is too high. Its that or leave Anglo fall. Maybe that would mean the cuts would not have to be so deep and therefore we would have a fighting chance of recovery. I some how doubt our government will take that chance. And despite the hyperbole from both opposition … Read more

Euro breakup : Why Morgan Stanley is wrong

A few months back Morgan Stanley analyst Joachim Fels produced a set of warning signs that would indicate the Eurozone was at increased risk of breakup. He’s back today with a new research note – To be clear, we neither advocate a EUR break-up nor is this our main scenario. However, the risk that it happens is far from negligible and the consequences for financial markets would be severe. Given recent developments, a break-up scenario has clearly become more likely, … Read more