1/4% Tax on all stock trades pushed in NY Times today

When I saw an article yesterday about Slovenia perhaps needing an EU bailout, it occurred to me that the weak PIIGS and other EU members who might need a bailout were pressured to vote yes on FTT to appease Merkel, and to get a better deal on bailouts when they need one. I figured this from the start and Slovenia is in the EC-11 on FTT. Merkel wants banks to contribute towards bailouts in this indirect manner.

Cyprus voted no on EC-11 FTT and as promised by Merkel, she punished them in their EU bailout, forcing a huge haircut on depositors with accounts over 100k euros.

We all know how devastating FTT is on finance, trading and banking and it's expected that as we get closer to EC 11 FTT, the UK and others voting no will finally take action to try and bloc this illogical and hurtful tax regime.

Ironic, the weakest EU members are ready to punish their own banks with FTT - a type of bank austerity - which will doom their growth.
 
Quote from Explorer:

Opposition flares to proposed FTT as deadline edges closer

http://www.investmenteurope.net/inv...ares-to-proposed-ftt-as-deadline-edges-closer

Another strong article slamming the EU FTT.
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It's good to see the opposition stepping forward -- finally. But where have they been the last three years? Why weren't they fighting this tax with all possible efforts from the beginning? Most of them sat on the sidelines and did nothing.

My grandfather used to say: "If you lay down on railroad tracks, don't act surprised when you get hit by a train." The FTT train has been headed toward the EU for over three years. Most of the people who should have been making arguments against it sat silently and did nothing. Now they act surprised when they get hit by the train.
 
Quote from Robert A. Green:


Cyprus voted no on EC-11 FTT and as promised by Merkel, she punished them in their EU bailout, forcing a huge haircut on depositors with accounts over 100k euros.
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i do think you're seeing ghosts here. The FTT has never been that big of an issue on the European political level, the Cyprus-thing was huge. I don't believe any FTT-vote made any difference here. And these last few weeks everyone involved, including Rehn and Dijsselbloem, have made it very clear future bailouts will also involve big haircuts like the Cyprus-bailout (and honestly, but that's my personal opinion, I think they should), so Slovenia beware, regardless of a Yes or No-vote.

i'm still clinging on to that report some time ago about the ftt lobby losing steam fast with countries beinig divided and germany crawling back (as they might only now have noticed they are the only strong financial force left in the pro-ftt bloc). the lack of pro ftt rhetoric of late does suggest something like this is going on, let's hope so.
 
Quote from bjw:

i do think you're seeing ghosts here. The FTT has never been that big of an issue on the European political level, the Cyprus-thing was huge. I don't believe any FTT-vote made any difference here.
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I recall Merkel firmly said EU members that did not support the EU fiscal compact -including a FTT too I recall - would get less help in EU bailouts. Had Cyprus signed on for EU FTT and the fiscal compact (not sure if they did), they may have gotten a better bailout deal. Merkel does enforce her statements and will make an example of this.

Ollie Rehn spoke reality like a Finn that big deposits don't have insurance and depositors should not assume a full govt backstop. That's true in the US for deposits over FDIC limits, too.

Bottom line. Why allow bailout nations and the weakest members financially - besides Germany - pass a destructive tax that will upset growth throughout the EU, pulling down the strong?

The UK doesn't want to bailout euro members, as they are not in the euro. Germany is trying to force them to with their extra-territorial FTT. Capitulating to FTT is capitulating to the spendthrift and bankrupt EU members. There is still a connection here in my view, which makes it paramount to defeat FTT.
 
Quote from Pippi436:

Cyprus got an extraordinary large EU bailout contribution on a per capita basis. I think you are seeing things here.
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where exactly are you comparing this to? and how come you believe you can compare any bailout on a per capita basis per se? it's not like the Cyprus bailout, with primarily its out-of-control-banking-sector (and, let's not forget, a tiny population, so per capita goes up pretty fast; if anything, it looked like the Iceland crisis a few years back) really resembles the for example Greek bailout? Regardless, I do think this will be the new trend. Frankly, a big part of Europe has had enough of bailouts altogether, even more then they did 2 years ago, solidarity is on an all time low, things had to change.

Anyway, back on topic (you'd almost forget the main issue in all the recent lack of news)
 
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