Synopses & Reviews
Will the Euro survive? Where is the European financial crisis headed? What will it mean for global and US markets? In this short book, internationally respected Financial Times journalist John Authers illuminates today's European financial crisis and the massive forces increasingly buffeting world and US economies. Authers explains why a strong recovery remains far away, why the risk of a disastrous "final" crisis remains terrifyingly real, and how investors can best navigate today's brutally challenging markets. The European Financial Crisis reveals why the 2010/2011 market rallies were so fearful, and why their underlying assumptions -- continued Chinese growth, bailouts, progress towards bank solvency, more easy "Fed" money -- have proven so tenuous. Above all, Authers shows how the Eurozone crisis uncovers today's worst unaddressed risk: the markets' loss of confidence in governments. This brief discussion offers insights into underlying flaws in the banking system and the Eurozone's structure that remain unaddressed; how cheap money and bailouts have bought time that is rapidly running out; and the increasingly frightening signs of "perverse synchronization": forex, equity, credit, and commodity markets massively moving in tandem. He also offers specific recommendations for what policymakers can and must do now to restore the long-term health of the global markets.
Synopsis
Greece. Spain. Italy. Portugal. Will the Euro survive? Where is the Eurozone financial crisis leading? What will it mean for global and US markets? In this brief discussion, leading Financial Times journalist John Authers illuminates today's European financial crisis and the massive forces increasingly buffeting the world and US economies. Authers explains why a strong recovery remains far away, why the risk of a catastrophic "final" crisis remains terrifyingly real, and how investors can best navigate today's brutally challenging markets. Authers reveals why the 2010/2011 market rallies were so fearful, and why their underlying assumptions -- continued Chinese growth, bailouts, progress towards bank solvency, more easy "Fed" money -- have proven so tenuous. Above all, he shows how the Eurozone crisis uncovers today's worst unaddressed risk: the markets' loss of confidence in governments. The author offers profound new insights into
- Underlying flaws in the banking system that remain even after huge bailouts
- How the Eurozone's flawed structure is driving a new sovereign debt crisis
- How cheap money and bailouts have bought time -- and how that time is rapidly running out
- The increasingly frightening signs of "perverse synchronization" forex, equity, credit, and commodity markets massively moving in tandem
- What policymakers can and must do now
Synopsis
Greece. Ireland. Spain. Italy. Will the Euro survive?
What if it doesn’t? What happens next? How can you protect yourself?
“In another highly readable and insightful book, John Authers provides an elegant and concise analysis of Europe’s current economic and political problems. Read this if you wish to understand not just why Europe is in crisis, but also what it takes to overcome it. And remember, unlike the Las Vegas ad, what happens in Europe, good or bad, does not stay there!”
—Mohamed A. El-Erian, PIMCO CEO and co-CIO, and author of When Markets Collide
Where is the Eurozone financial crisis leading? What will it mean for global and U.S. markets? In this brief book, leading Financial Times journalist John Authers illuminates today’s European financial crisis and the massive forces increasingly buffeting the world and U.S. economies. Authers explains why a strong recovery remains far away…why underlying flaws in the banking system remain dangerous… how the Eurozone’s flawed structure helped to bring the U.S. debt crisis across the Atlantic…why the risk of a catastrophic “final” crisis remains real and dangerous… and what all this means to the markets and investors.
About the Author
John Authers, Senior Investment Columnist for the
Financial Times, is responsible for the weekly “Long View” and other columns on markets and investment. One of the world’s most influential financial journalists, he has served as global head of the
Financial Times “Lex” column, U.S. markets editor, Mexico City bureau chief, and U.S. banking correspondent.
Authers speaks worldwide and appears frequently on major U.S. and global media, including the BBC, CNN, MSNBC, NPR, and PBS. He has twice been honored as the U.K.’s Investment Journalist of the Year and was named the Wincott Foundation’s Senior Financial Journalist of the year for 2009, the premier award in British financial journalism. He is author of The Fearful Rise of Markets: Global Bubbles, Synchronized Meltdowns, and How to Prevent Them in the Future, to which this e-book is a sequel.
Authers’ previous book, The Victim’s Fortune, coauthored with Richard Wolffe, earned the prestigious Best of Knight-Bagehot Award.
Table of Contents
Introduction 1
Chapter 1 Genesis of the Euro 11
Chapter 2 Catalyst: Crash on Wall Street 27
Chapter 3 Emerging Markets Decouple 43
Chapter 4 Currency Wars 55
Chapter 5 Banks Bounce 67
Chapter 6 Bank-Bashing 81
Chapter 7 Europe: The Logic of Contagion 95
Chapter 8 Democrats versus Technocrats 113
Chapter 9 Risk-On, Risk-Off Markets 129
Chapter 10 2012 and After 149
Index 161