What the Erdogan government must do if it wants to avoid a “cold Turkey” economic shock.
It may take a further rise in Italian bond yields to remind the populist government’s leaders in Rome that their room for maneuver to operate with more debt is very limited.
Though UK voters have changed their tune on Brexit, there is little chance that it will be reversed.
What Europe earns by selling goods to the U.S., it spends on licensing fees for U.S. technology and on U.S. services. Nothing unfair here.
The demise of the current Merkel government is not the most likely outcome yet. Both CSU and CDU would have too much to lose from it.
If Italy’s government tames its radical instincts it could be allowed to get away with a few things. But if it is confrontational with the EU it will be heading for trouble.
If the CSU does not agree to any compromise on migration policy, Merkel’s government may fall apart.
The U.S. President seems to have the upper hand – for now. He doesn’t realize how his trade actions will backfire at home.
If a radical government in Rome plunges Italy into a deep crisis, it would still be an Italian crisis — rather than a “euro“ crisis.