Germany’s Merkel Says Full Force of Law to Bear in Berlin Attacks

by Patrick Donahue
December 2016, 1:12 μ.μ. EET

• Germans in mourning after ‘horrific and unimaginable’ attack

• Anti-immigration AfD party lays blame at Merkel’s door

Chancellor Angela Merkel said that German authorities were working on the assumption that the deaths of 12 people after a truck plowed into a Christmas market were a terrorist attack, and pledged to use the full force of German law to bring the perpetrators to justice.

In a nationally televised statement in Berlin, Merkel said that people across Germany were mourning after the “horrific and unimaginable” deaths and injuries sustained in the capital on Monday evening. She said she planned to tour the scene of the attack later on Tuesday.

Russian Ambassador Killed in Turkey by Gunman Invoking Syria

by Benjamin Harvey  and Selcan Hacaoglu
20 December 2016, 6:35 π.μ. EET

Bloomberg

Russia’s ambassador was shot dead in the Turkish capital on Monday in an assassination apparently linked to Syria’s civil war, heightening tensions over a conflict that’s drawn in almost all the region’s main powers.

Andrey Karlov was shot in the back at an art exhibit in Ankara on Monday and died from his injuries, according to the Russian Foreign Ministry. “Allahu akbar,” the gunman shouted, and then “don’t forget Aleppo” -- a reference to the Syrian city where mostly Islamist rebels have been defeated this month by Russian-backed government troops. The attacker, who was killed by security forces, was a 22-year-old active-duty police officer. His possible connection with organized groups is being probed, Turkey’s Interior Minister Suleyman Soylu said.

Political Risks Leave Euro-Pound Analysts Most Divided on Record

by Anooja Debnath  and Charlotte Ryan
20 - 12 - 2016, 9:54 π.μ. EET

Bloomberg

For analysts trying to plot the course of the pound against the euro in 2017, the key decision is judging which side of the English Channel will see greater political turbulence.

Strategists are trying to pinpoint whether the U.K.’s exit process from the European Union or the rise of populism in the rest of Europe carries the bigger risk. The dichotomy is evident in Bloomberg’s survey of currency analysts, where the range between the highest and lowest year-end forecasts for euro-sterling is the widest going into a new year since at least 2006.

Greece’s Long Winter

An early election would signal how much reform voters will support.

The Wall Street Journal

Dec. 19, 2016 7:11 p.m. ET
1 COMMENTS
Europe has a packed election schedule for 2017, and it’s set to grow more crowded if Greece holds another vote. The snap parliamentary poll that looks increasingly likely won’t solve the country’s economic problems, but at least the exercise would have the virtue of clarifying for Greeks and the rest of the eurozone how much reform Athens will be able to undertake.

Opinion: Europe is failing, and Merkel can’t save it

Published: Dec 16, 2016 3:04 a.m. ET

Market Watch

Germany is at the center of both austerity economics and the refugee crisis

By
DARRELL DELAMAIDE POLITICS COLUMNIST

Europe may well have reached its tipping point and could now decline at an accelerated pace.

On top of economic stagnation from obtusely misguided austerity policies, the fabric of the European Union has been frayed by Britain’s vote last summer to exit the bloc and by Italian voters’ rejection this month of an overly ambitious constitutional reform, leading to the fall of the government and a fragile political situation.

France puts weight behind Greece in debt dispute

The Washington Post

By Associated Press December 15 at 9:06 AM
BRUSSELS — French President Francois Hollande has come to the defense of Greece after European creditors pulled a recently announced debt relief package for the country.

Hollande said ahead of Thursday’s summit of European Union leaders that “it is out of the question to ask for further additional efforts from Greece or prevent them from taking a number of sovereign measures that respect the commitments” that Greece previously took.

Greece Pushes Forward With Measures Opposed by Creditors

Eurozone froze debt-relief offer over plans for pensioner benefit and suspension of sales-tax rise

The Wall Street Journal

By MARCUS WALKER and  NEKTARIA STAMOULI
Updated Dec. 15, 2016 1:12 p.m. ET


ATHENS—Greece refused to back down in its rapidly escalating conflict with creditors, as lawmakers on Thursday passed measures to loosen the purse strings in a move that has angered Germany.

The fiscal largess, including a Christmas bonus for 1.6 million low-income pensioners and the suspension of a sales-tax increase on Aegean islands that have received refugees, led the eurozone to freeze debt-relief measures for Greece on Wednesday. Eurozone officials have criticized Athens for breaking promises to consult creditors before making any fiscal moves that could affect Greece’s bailout goals.

German leader ‘insults’ Saudi Arabia by refusing to wear hijab

By Jamie Schram December 14, 2016 | 11:43am


The New York Post



Germany’s defense minister refused to wear a traditional head covering during her visit with a Saudi Arabian prince, arguing that women have as much right as men do to wear whatever they choose.

Ursula von der Leyen declined to wear a hijab — a veil traditionally worn by Muslim women — or an abaya, a full-length robe, when she met with Deputy Crown Prince Mohammed bin Salman al Saud in the Saudi capital of Riyadh last Wednesday, according to Sputnik International news.

“The right to choose your own clothing is a right shared by men and women alike. It annoys me, when women are to be pushed into the Abaya,” Das Bild reported Leyen as saying.

Eurozone Suspends Short-Term Debt Relief for Greece Amid Growing Friction

Move comes in response to Tsipras’s surprise fiscal gifts for pensioners and other Greeks, which creditors say run afoul of Athens’s bailout commitments

The Wall Street Journal

By VIKTORIA DENDRINOU
Dec. 14, 2016 12:18 p.m. ET


BRUSSELS—Greece’s European creditors suspended proposed debt-relief measures for the country after the Greek government surprised them by announcing it would boost welfare benefits for low-income pensioners, a sign of escalating tensions over the country’s bailout.

The moves come as Athens and its international creditors—which include the eurozone and the International Monetary Fund—are struggling to conclude their latest review of the country’s rescue plan of as much as €86 billion ($92 billion) in loans.

U.S. ready to confront Beijing on South China Sea: admiral

Wed Dec 14, 2016 | 3:48am EST

Reuters

By Colin Packham | SYDNEY
The United States is ready to confront China should it continue its overreaching maritime claims in the South China Sea, the head of the U.S. Pacific fleet said on Wednesday, comments that threaten to escalate tensions between the two global rivals.

China claims most of the resource-rich South China Sea through which about $5 trillion in ship-borne trade passes every year. Neighbors Brunei, Malaysia, the Philippines, Taiwan and Vietnam also have claims.

The United States has called on China to respect the findings of the arbitration court in The Hague earlier this year which invalidated its vast territorial claims in the strategic waterway.

As Brexit approaches, signs of a gathering economic storm for Britain

The Washington Post

By Griff Witte December 13 at 5:16 PM
LONDON — From a modest office in a small town in northeastern England, Elliott Peckett’s family stocked the world with costumes.

Billowy white Marilyn Monroe dresses. Red velvet Santa caps. Rhinestone-studded Elvis jumpsuits.

They were shipped out by the millions to 42 countries across the globe, and they brought the profits of countless Halloween parties, Carnival parades and Christmas wonderlands back home to England.

But thanks to Brexit, not anymore. After 122 years, Peckett’s costume company, Smiffys, is moving its headquarters to the Netherlands.

Too big to fail: China maps out its Trump strategy

Wed Dec 14, 2016 | 2:15am EST

Reuters

By Ben Blanchard and Christian Shepherd | BEIJING
When Donald Trump becomes U.S. president next month, one issue above all others could force his new administration to work closely with China and underscore why he and Beijing need each other - North Korea.

A nuclear armed North Korea, developing missiles that could hit the U.S. west coast, is clearly bad news for Washington but also Pyongyang's sometimes-reluctant ally Beijing, which fears one day those missiles could be aimed at them.

Greece Heads Toward New Crisis in Debt Saga as Support for Tsipras Slumps

The ruling Syriza party is considering calling snap elections in 2017, as it loses hope of winning concessions on debt relief or austerity from Greece’s creditors

The Wall Street Journal

By NEKTARIA STAMOULI and  MARCUS WALKER
Dec. 12, 2016 1:48 p.m. ET
36 COMMENTS
ATHENS—Greece’s crisis is approaching a potential breaking point after a year of relative calm, as a government with declining political stamina confronts creditors’ unyielding demands.

The ruling left-wing Syriza party, grappling with slumping popularity, is considering the option of calling snap elections in 2017, as it loses hope of winning concessions on debt relief or austerity from the eurozone and International Monetary Fund.

No decision for elections has been made, said Greek officials, who added that they would review the state of negotiations in January, after pressing creditors again to show more flexibility.

The IMF is Not Asking Greece for More Austerity

Posted on December 12, 2016 by iMFdirect
By Maurice Obstfeld and Poul M. Thomsen
Versions in عربي (Arabic); Français (French); Deutsch (German); ελληνικά (Greek); and Español (Spanish)
Greece is once again in the headlines as discussions for the second review of its European Stability Mechanism (ESM) program are gaining pace. Unfortunately, the discussions have also spurred some misinformation about the role and the views of the IMF. Above all, the IMF is being criticized for demanding more fiscal austerity, in particular for making this a condition for urgently needed debt relief. This is not true, and clarifications are in order.

Inside China’s Global Spending Spree

By Scott Cendrowski
Photograph by Teru Onishi for Fortune
DECEMBER 12, 2016, 6:30 AM EST

FORTUNE

“One Belt, One Road,” China’s $3 trillion infrastructure-building campaign, could be a windfall for some Western companies and investors.

The high-rise coastal city of Dubai plays host to all kinds of luxury oddities: indoor ski slopes, gold-bar vending machines, vast artificial archipelagoes shaped like palm trees. But six miles inland, something just as unusual, if far less gaudy, is taking shape—the first coal-fired power plant in the Middle East.

Turkey Moves to Crush Kurdish Party After Deadly Bombing

Jared Malsin/Istanbul @jmalsin  Dec. 12, 2016    

Turkish government makes hundreds of arrests

TIME

Turkish authorities arrested at least 291 officials and members of a major parliamentary opposition party on terrorism charges Monday, following a deadly twin bomb attack in Istanbul that killed at least 44 people.

The arrests marked the continuation of government reprisals against the pro-Kurdish People’s Democratic Party (known by the Turkish acronym HDP), which controls the third-largest bloc in Turkey’s parliament. The arrests come in the context of a broader crackdown on critics of the government of President Recep Tayyip Erdogan, who has moved to shore up his own power after surviving a deadly military coup attempt last July.

Trump draws rebukes after saying U.S. isn’t bound by one-China policy

The Washington Post

By Emily Rauhala December 12 at 9:43 AM
BEIJING — Donald Trump is talking about Taiwan again — and so is China, in angry and mocking ­comments Monday that questioned whether the president-elect grasps a core ­element of ­relations between the world’s top economic powers.

In an interview broadcast Sunday, Trump said the United States would not necessarily be bound by the one-China policy — the diplomatic understanding that underpins ties between Washington and Beijing and that leaves China’s ­rival Taiwan on the diplomatic sidelines with the United States.

Rex Tillerson’s Company, Exxon, Has Billions at Stake Over Sanctions on Russia

By ANDREW E. KRAMER and CLIFFORD KRAUSSDEC. 12, 2016

The New York Times

MOSCOW — Now that President-elect Donald J. Trump has chosen Rex W. Tillerson, the chief executive of Exxon Mobil, to be the next secretary of state, the giant oil company stands to make some major gains as well: It has billions of dollars in deals that can go forward only if the United States lifts sanctions against Russia.

As head of America’s largest oil company, Mr. Tillerson has earned a friendship award from Russia and voiced skepticism about American sanctions that have halted some of Exxon Mobil’s biggest projects in the country.

International migrant-smuggling ring dismantled in Greece

The Washington Post

By Associated Press December 12 at 10:20 AM
ATHENS, Greece — Greek and British authorities say they have dismantled an international ring suspected of smuggling hundreds of migrants to Britain and other European countries using falsified travel documents.

A Greek police statement says that 24 suspects were arrested last week in the Athens area, and another nine in Glasgow, Northampton and Manchester in Britain.

Greece Needs Fiscal Breathing Room

We’ve exceeded our targets and ended up with a surplus. The wise thing to do would be to give it back to the citizens.

The Wall Street journal

By FRANCISCOS KOUTENTAKIS
Dec. 12, 2016 3:17 p.m. ET
0 COMMENTS
This will be the second year in a row that Greece has beaten its primary fiscal targets. In contrast to the pessimistic projections of its creditors, Greece’s authorities have proved themselves capable of delivering on the country’s promises.