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You very much in -- move on and talk a little bit tell more about that because our next guest says this prime minister of Spain just keep -- -- -- what's wrong with politicians.
I don't think that's a compliment Axel Merck is the president's chief investment officer at Merck investments who joins us.
He's in now Palo Alto today -- not happy with -- lashing just talked about the budget you're not happy with the Spanish.
-- -- -- I mean it's really -- problem what they do it by the -- if Spanish prime minister whenever the bond market accepting makes my promises when the -- -- the bond market -- -- -- but that's about all these promises.
We have 43 loss coming in the pipeline 43 opportunities before us demonstrations 43 opportunities for the government to.
The next thing that the government is doing now is they're raiding the pension fund that taking three million on the pension fund.
In order to pave -- but government expenses.
Daytona live another day but but things are certainly not looking great and and most of this -- -- -- shooting ourselves in the foot yet.
Yet you know we care about Europe for a number of reasons but I think mostly because.
It can have an effect on the financial markets everywhere including here we've seen that this week and one of the things that's been brought up.
Because it's a presidential year is that -- what if if Europe comes back in the headlines -- there in the markets act not as they have today when we're up a little bit but as they did earlier in the week.
And the markets are really pulling back is that something that might hurt President Obama politically what do you think.
-- politicians always choose between the cost of acting and not acting.
And in the US the reason why we are not acting to reason why we don't have entitlement reform.
I'm on the table by the current administration has because -- bond market lets -- get away with it.
And so let Europe gets its troubles in in order point to the extent that the European Central Bank take -- over these problems doing exactly the same thing what the Federal Reserve has been doing.
By buying these securities can't keep putting some -- on the market -- -- will for reform is -- the difference between the US and Europe is out with a current account deficit in the US that means if and when the bond market tells us to get our act together.
We are most more liberal in particular the dollar as most formidable al-Qaeda then yes well act I'm about Dennis thank being justice -- activities normally agree.
Heading lower basically than they are right now as the money floods in.
-- to the United States as opposed to going out of itself but the point is you don't see an October surprise something out of Europe that really upsets and and is that you blows up and becomes a big issue for our election.
Whether what we had a chronic condition Europe it's that he can -- -- hurry up and -- -- Groundhog Day.
And that the key thing to remember is the crisis by many konduz is worse yet the Euro is around 128 is not at 120 is not at parity.
So the market is getting used to it -- no reason the market is getting used to it is because the head of the European Central Bank.
-- impose that crosses on the Arizona it's not a perfect process of messy one.
But we have to think about what extent -- we hold politicians up to and policymakers -- we haven't mentioned the US in the UK in Japan and the Euro zone.
The Euro is just becoming to be yet another currency which is much better than it was a few months ago.
-- -- as always.
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