Two Updates – Italy and Iran.
Italy. I wrote recently (09/18/2018) that this beautiful country could be the next economic casualty in Europe.
It’s prospects have just got worse. The precarious coalition of extreme left and right parties has announced a 2019 budget loss of 2.4%. It is likely to be even worse. Expect to see interest rates rising for an economy where national debt already stands at 130% of GDP.
Iran. My other article (09/27/2018) was about the vested incompetence of America’s “Foghorn diplomacy”. The EU announced Friday that it was turning away from supporting what it sees as the ill considered bully boy tactics of the White House. Instead it is proposing to underpin the implementation of the recently concluded Iran Nuclear Accord with its own payments system via the European Monetary Fund. This system will be open to all nations – including Russia and China. The US bluster is cementing a coalition no one wants and rejecting long standing allies.
Have a good day, James