The EU's consumers will have a tough time jump-starting their economy if they keep losing their jobs:
Coincidentally, the EU's unemployment rate is fairly close to the U.S.'s rate (assuming you trust official stats, which I don't). The ECB has its monetary fire hose turned on at full blast to try to goose the continent's economy:
Good luck with that move. They'll be hard pressed to fight inflation in 2010 with such a pro-growth bias.
Stagflation is not in the life experience of the younger generations of either North America or Europe. I don't see any green shoots across the Atlantic. Do you?
Nota bene: Anthony J. Alfidi is short uncovered calls on EFA.
Eurostat, the statistics office of the EU, said Thursday the seasonally-adjusted unemployment rate for the euro zone in May stood at 9.5 percent of the work force, up from April's 9.3 percent. It said just over 15 million people were unemployed in May, up 273,000 on April's figure.
Coincidentally, the EU's unemployment rate is fairly close to the U.S.'s rate (assuming you trust official stats, which I don't). The ECB has its monetary fire hose turned on at full blast to try to goose the continent's economy:
ECB officials meeting in Luxembourg today will leave the benchmark rate at a record low of 1 percent, according to all but two of 60 economists in a Bloomberg News survey. The central bank, led by President Jean-Claude Trichet, may keep the rate there until the fourth quarter of 2010, a separate survey shows.
Good luck with that move. They'll be hard pressed to fight inflation in 2010 with such a pro-growth bias.
Stagflation is not in the life experience of the younger generations of either North America or Europe. I don't see any green shoots across the Atlantic. Do you?
Nota bene: Anthony J. Alfidi is short uncovered calls on EFA.
