OctaFX | OctaFX Forex Broker
Open trading account

Forex Flash: Many claim that a Rubicon has been crossed in Cyprus - BBH

FXstreet.com (Barcelona) - Brown Brothers Harriman analysts note that many, including the French Finance Minister, are claiming some taboo has been broken. Others claim a Rubicon has been crossed. However, they are not so convinced.

Firstly, they note that the generic category of wealth tax in contrast to income and sales tax is not uncommon in Europe. Secondly, they highlight that a tax on deposits is also not unprecedented. For example, recall that in July 1992, Italy's government under Prime Minister Amato took 0.6% of all bank deposits (imposed a 0.3% tax on all real estate). They feel that it is not the amount of the tax or the moral justification that is the issue, but the principle and precedent. Third, they comment that throughout this crisis, the burden of the adjustment has fallen on those who are generally less well off. They write, “Minimum wages have been cut. Health care benefits have been cut. Pensions have been cut. All for the sake of keeping some investors whole.”

Forex Flash: UK Contorting to flexible targeting - Nomura

Nomura economists note that the UK is starting to twist and contort towards flexible targeting.
Read more Previous

Forex: EUR/USD testing the 200-day MA around 1.2875

The single currency keeps the negative mood after the situation in Cyprus became more instable on Tuesday. While protests are growing bigger outside the Parliament, it’s worth noting that...
Read more Next
Start livechat