You're watching...
Societe Generale Global Research Head Patrick Legland on the agreement reached at the EU Summit and the outlook for the European economy and the euro.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
-- do you finally reaching an agreement as the summit ended but isn't enough to pull Europe.
Out of crisis mode Patrick let -- head of global research at Societe Generale as.
Here with me in a Fox Business exclusive inside to see you in person -- trek.
What do you make of the decision today it -- -- they finally do what ever -- here in the United States wanted.
But all the money directly to European banks was a -- effect.
Yet it's definitive but things he's he's not yet -- of the crises -- would be to make -- on small.
First eats nothing all good amount which just a -- balance to go open institution point number one.
Don't know look to at least we have a month 25 billion -- -- -- -- grew -- it's only 1% of GDP but -- of Clinton's positive.
Well then okay so you're talking about the center -- talking about the direct funding into the banks.
Do you think that's enough to get Europe to grow can these economies because right now for the year it's forecasted to be negative 2% GDP from the yes unfortunately you are very right.
PM -- Our Coach kids are -- wealthy well at the beginning of 1999.
Of 2009 to adjust after being -- -- crises -- that shows you such short he's really really slowing down -- some installed.
We -- be enough to to to restock rules but at least you can certainly -- -- -- -- life.
Because -- he -- after issuing that he won't to cool -- was a crises and to find solutions.
Well I don't think that would be a good thing but -- also concerned about the Euro mean do you think the Euro.
Survives as the currency survive you -- all of bearishness and you're -- where he.
Secondly -- up from people who might be very different from you about it seemed at least -- -- Which assume a breakup of -- he's he's not -- -- which we happen because it would be even worse this too shall we have no mix that might be next week web ECB.
And eighteen.
This very day that he's at -- -- we've cut interest rates by quarter point in talking to raise rates it's not so much.
Who gets you'll soon to fight but -- hillside between might put pressure -- on fuel in would be very -- people you can.
OK so that would be a good thing -- we do want to see growth and that's how and where things are Angela Merkel was so strong.
So passionate about it got to get the region to -- are you concerned about Germany at all love so much that this really is on the backs of that Germany.
Funny in Chile are you concerned at all about that particular economy.
In fact is she's very interesting because well increasingly worried about Germany will focus things you'll point five -- some growth of -- for 2000 web.
But from -- very very very close to zero.
And it's interesting to seize up of -- some relief fuse of pain of economic slowdown this stuff to react with income of -- -- -- yeah.
You know Moody's downgrade of fifteen global banks and and really the pressure on.
Is -- -- banks at this point not just in Europe but here in the United States over in Asia.
I mean do you think that that the banking system overall on an international level.
That is in crisis mode right now because Moody's for some negative.
You know.
I don't -- -- he's the main question not quitting Euro it was golden moment.
Two she -- countries have banks and stiffened in Greece and Spain doesn't quipped.
No -- -- -- -- framework to properly to Bob balance I I'm really you compute only serves up until should come back about -- bank's.
I was very intrigued by the fact that Italy and Spain.
-- held their ground stuck together in these negotiations that went all through the night and luckily Asian markets are able to pick up on that positive news we got.
European markets and in this market today picking up on the news but at the same time I was.
All surprised by the political power that the Italians in the Spanish really seem to hold -- surprised by that.
You know I think you know most politically -- in Europe agree that the -- -- what -- means the last few -- you know interest in budget -- -- seats.
As a percentage of GDP of the -- it's a big success -- in Europe where the 52 rooms for point five.
That's some but only hillside that -- to rule because there was no no no -- -- know some of these -- into the sensing.
All they've done pretty big move today I think a lot of people on the side of the pond anyway -- Pretty happy about a -- at Patrick -- -- see it yet decide to Generale of course for the global research there.
