The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Bond Outlook June 15th

To tensions of US deficit financing must be added the most important political debate Europe has faced since the beginning of the "European project". Blair New Europe vs. Chirac Old!

Bond Outlook [by bridport & cie, June 15th 2005]

"When everything is weak, we're heading for a blow up" - an elegant summary from discussions inside our company. For the two major world currencies, it is a question of which is the weaker, the dollar because of the US deficits, or the euro because of the growing political row. At present it is the euro, but the search for other havens is continuing, as spelt out last week. There is even a case for gold to strengthen, with gold-producing countries' currencies benefiting.

 

The stubbornness of European politicians in their deafness to the popular swell of anti-EU feeling is remarkable. The more they attempt to push ahead with referenda, the more the voters will revolt. Even Luxembourg might vote "no"! The entire European project is now ready for a re-orientation: less centralisation, more democracy, retained responsibility at national level, freedom of choice on the mix of social vs. free-market economy. It is obvious which opposing sides Blair and Chirac are on, but the wind is clearly in favour of the Blair vision.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree