IMF: Global economy 'in danger zone' over euro crisis

BlondeHeadOn

This is kind of a "No !!!!!! Sherlock" article, but here's the link:

http://www.bbc.co.uk/news/business-16699807

Some highlights reproduced below:

"The world's economy is "deeply into the danger zone" because of risks from the eurozone, the International Monetary Fund (IMF) has said.

The IMF predicts the global economy will grow by 3.25% in 2012, down from an earlier forecast of 4%.

The growth forecast for the UK economy has been cut to 0.6% from 1.6%.
But the eurozone is set for a "mild recession" in 2012, with GDP expected to shrink by 0.5%, compared with a previous forecast of 1.1% growth.

EU economic affairs commissioner Olli Rehn said he expected a "moderate recession" across Europe in the first half of this year.

On Monday, IMF chief Christine Lagarde warned the global economy could fall into an economic spiral reminiscent of the 1930s unless action was taken on the eurozone crisis."

Puddleglum

BlondeHeadOn wrote: »

"The world's economy is "deeply into the danger zone" because of risks from the eurozone, the International Monetary Fund (IMF) has said.

The IMF predicts the global economy will grow by 3.25% in 2012, down from an earlier forecast of 4%.

The growth forecast for the UK economy has been cut to 0.6% from 1.6%.
But the eurozone is set for a "mild recession" in 2012, with GDP expected to shrink by 0.5%, compared with a previous forecast of 1.1% growth.

EU economic affairs commissioner Olli Rehn said he expected a "moderate recession" across Europe in the first half of this year.

On Monday, IMF chief Christine Lagarde warned the global economy could fall into an economic spiral reminiscent of the 1930s unless action was taken on the eurozone crisis."

Is it just me or does the above come across as being not too serious actually? "moderate", "mild".

BlondeHeadOn

Puddleglum wrote: »

Is it just me or does the above come across as being not too serious actually? "moderate", "mild".

I know, I think this must be Euro-Speak for "We're all doooomed!"

:rotfl:

wellused

Eurozone finance ministers finalised the treaty governing the Permanent Euro bailout fund the ESM, the agreement paves the way for the ESM to come into force in July 12 months earlier than planned. It is hoped that the ESM will be more independent and more robust than it's predecessor the EFSF which had it's credit rating downgraded recently by Standard and Poor. The ESM will be funded by 500billion Euro and will be used to bail out failing Eurozone economy's, although to qualify for help each country will have to sign up to the European pact for strict budgetary discipline. Several Eurozone country's have called for Germany to increase it's contribution to boost the fund to 1trillion Euro but so far Angela Merkel has refused to commit any more into the fund.
http://www.spiegel.de/international/europe/0,1518,811053,00.html

Graham_Devon

Yawn.

And I don't say that because I don't believe it. I say it because I'm sick of the story now. 2012 is pretty much saved, with more debt. So this story and the multitude of new crisis points we are going to hear about is boring already.

All we hear is threats of what may happen if we action isn't taken. Then the heads of the EU get round a table, do absolutely nothing but eat a lavish meal and come up with absolutely nothing, and it's treated like the second coming and an economic miricle. 1 week later, were all doomed again.

shortchanged_2

Graham_Devon wrote: »

Yawn.

And I don't say that because I don't believe it. I say it because I'm sick of the story now. 2012 is pretty much saved, with more debt. So this story and the multitude of new crisis points we are going to hear about is boring already.

I know. I was wondering when the next 'do or die' or 'last chance' meeting is going to be.

We hear all this talk about urgent action but diddly seems to get done.

Darthvader

BlondeHeadOn wrote: »

This is kind of a "No !!!!!! Sherlock" article, but here's the link:

http://www.bbc.co.uk/news/business-16699807

Some highlights reproduced below:

"The world's economy is "deeply into the danger zone" because of risks from the eurozone, the International Monetary Fund (IMF) has said.

The IMF predicts the global economy will grow by 3.25% in 2012, down from an earlier forecast of 4%.

The growth forecast for the UK economy has been cut to 0.6% from 1.6%.
But the eurozone is set for a "mild recession" in 2012, with GDP expected to shrink by 0.5%, compared with a previous forecast of 1.1% growth.

EU economic affairs commissioner Olli Rehn said he expected a "moderate recession" across Europe in the first half of this year.

On Monday, IMF chief Christine Lagarde warned the global economy could fall into an economic spiral reminiscent of the 1930s unless action was taken on the eurozone crisis."

"No !!!!!! Sherlock" for sure. But also a bit too late by a few years.

The other thing that anoys me is how some talk as if there is still a chance of a recovery.

Darthvader

shortchanged wrote: »

I know. I was wondering when the next 'do or die' or 'last chance' meeting is going to be.

We hear all this talk about urgent action but diddly seems to get done.

There will be these meetings all through the crisis over the next few years. The big picture is a major currency crisis somehwere, it could well be the Euro first then the US $

Everyone around the world will look at their currency and say OMG these are just bits of paper with numbers printed on them as well!

Then the rush out of paper and into gold and silver will be on!!!!!!!!!!

moneyinmypocket

I have heard to many "this is last chance to turn it around" speeches, articles - while there are people living things will just plod on as normal

Darthvader

moneyinmypocket wrote: »

I have heard to many "this is last chance to turn it around" speeches, articles - while there are people living things will just plod on as normal

What is facing the world at the moment is anything but normal. And we have past the last chance to turn it around.

All they can do is keep postponing but everytime they do, it make the crisis worse.

Mark my words this global financial crisis is going to end very badly.

The only thing you can do to protect yourself is get out of paper investments and into gold and silver bullion.