Euro 'Will be Dead in Five Years'

The single currency is in its death throes and may not survive in its current membership for a week, let alone the next five years, according to a selection of responses to the survey – the first major wide-ranging litmus test of economic opinion in the City since the election. The findings underline suspicions that the new Chancellor, George Osborne, will have to firefight a full-blown crisis in Britain's biggest trading partner in his first years in office.'

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Secretive Bilderberg Club Ready for Protests

Splash! Could that be the sound of Lord Mandelson hitting one of the Dolce hotel’s four pools? Or Robert Zoellick of the World Bank? Paul Volcker of the US Economic Recovery Advisory Board? Or merely the euro taking another dive?

That is the thing about the Bilderberg group’s top secret meetings: you never know quite what is going on behind the police checkpoints.

Across the world, secretaries to the rich and the powerful have blocked out the next three days in their bosses’ calendars for their annual gathering, this time at the Dolce in Sitges, one of Spain’s most exclusive resorts.'

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Greece Urged to Give up Euro

The Greek government has been advised by British economists to leave the euro and default on its €300 billion (£255 billion) debt to save its economy.

The Centre for Economics and Business Research (CEBR), a London-based consultancy, has warned Greek ministers they will be unable to escape their debt trap without devaluing their own currency to boost exports. The only way this can happen is if Greece returns to its own currency.

Greek politicians have played down the prospect of abandoning the euro, which could lead to the break-up of the single currency.'

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EU to Set Up Fund to Prevent Spread of Greek Crisis

European leaders agreed to set up an emergency fund to halt the spread of Greece’s fiscal woes, seeking to prevent a sovereign debt crisis from shattering confidence in the 11-year-old euro.

Jolted into action by the sliding currency and soaring bond yields in Portugal and Spain, leaders of the 16 euro countries said the workings of the financial backstop will be hammered out before Asian markets open late tomorrow European time.

“We will defend the euro, whatever it takes,” European Commission President Jose Barroso told reporters early today after the leaders met in Brussels.'

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EU Is Collapsing Like Tower Of Babel

Monument Securities Chief Economist Stephen Lewis says the chaos in Greece could lead to collapse of the European Union, bringing down with it the dangerous assumption that structures of global governance provide stability in times of financial peril, but the World Bank and IMF vultures will be waiting as ever to feed on the remains of a dying country.'

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Greeks Begin Two-day Strike as Banking System is Saved From Meltdown

Greek public sector workers today began a 48-hour national strike that is a first test of the Government’s ability to enact new austerity measures agreed with the EU and IMF in return for billions of euros in aid.

Ministries, tax offices, schools, hospitals and public services were shutting down ahead of a midday rally of civil servants outside Parliament, organised by Adedy, the country’s main public sector union.

“We want an end to the freefall of our living standards,” said Spyros Papaspyros, the head of Adedy, which represents about half a million workers. “I think this will be one of the biggest protests we’ve seen in the last decade.”

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Eurozone Edges Closer to Endgame as Greek Contagion Hits Portugal

The eurozone "lurched towards the endgame" yesterday as Standard & Poor's finally relegated Greece's sovereign credit rating to "junk" status, downgraded Portugal by two steps to A-, and the yields on Greek debt climbed beyond 15 per cent, a signal that the market regards a default as virtually certain.

The contagion that many feared is threatening to overwhelm the entire single currency area in a remarkably short time. The course of events has parallels with the banking crises of the autumn of 2008, when successive institutions came under attack and their interrelationships and size devastated confidence in the financial system, famously so after the failure of Lehman's.'

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Collapse of the Euro is 'Inevitable': Bailing Out the Greek Economy Futile, says French Banking Chief

The European single currency is facing an 'inevitable break-up' a leading French bank claimed yesterday. Strategists at Paris-based Société Générale said that any bailout of the stricken Greek economy would only provide 'sticking plasters' to cover the deep- seated flaws in the eurozone bloc.

The stark warning came as the euro slipped further on the currency markets and dire growth figures raised the prospect of a 'double-dip' recession in the embattled zone.

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