Italy

When Will The European Super-Bubble Pop?

In early May, France elected globalist darling Emmanuel Macron. His victory gave the EU a short-term boost. However, it did not change the fundamental problems with Europe’s artificial mega-state.

Visualizing The Global Demographic Timebomb

With record-high amounts of student debt, questionable job prospects, and too much avocado toast in their bellies, many millennials already feel like they are getting the short end of the stick. But, there’s another economic headwind they face as they are coming of age: the percentage of the global population that is 65 or older will double from 10% to 20% by 2050.

Frontrunning: June 8

  • U.K. Election Remains Tight as Voters Head to the Polls (WSJ)
  • Trump Will Be Watching Comey Just Like the Rest of Us (BBG)
  • What we know about U.S. probes of Russian meddling in 2016 election (Reuters)
  • ECB Drops Reference to Future Interest-Rate Cut (WSJ)
  • Euro zone growth revised up to highest rate in two years (Reuters)

Spain's Banco Popular Bailed In, Acquired By Santander For €1.00

Just four days after Banco Popular chairman Emilio Saracho told his employees "don't panic" as a result of the company's crashing stock price, on Wednesday morning the ECB confirmed that the sixth largest Spanish bank was indeed on the verge of collapse and ordered it to be sold, which is what happened when Santander acquired the bank for €1.00 after Santander's equity and riskiest debt instruments were wiped out.

Futures Flat, Market Anxiety Eased By European Bank Rescue

European and Asian stocks, as well as S&P futures were little changed ahead of "Super Thursday's" events which include the U.K. general election, Comey's testimony and the ECB policy decision. That however may change following a Bloomberg news report that the ECB is set to cut inflation forecasts through 2019 due to weaker energy prices, suggesting the "hawkish" ECB announcement some had expected tomorrow has been postponed.

The ECB Has Almost Run Out Of German Bonds To Buy

Last month the average maturity of all German bond purchases by the ECB bond plunged below 4 for the first time ever, or just 3.98 years, the lowest on record.  This confirms that the ECB is actively reducing the amount of German Bunds it is buying and suggests that the ECB has almost run out of eligible German bonds to buy.