Saving The Euro - Part 13

Rob's 13th guest post on Saving the Euro.

The Plot Thickens

What is Germany up to?

First thing I read this morning was about a leaked German memo outlining a secret plan by Germany to block any move the UK might make to have a referendum on anything to do with treaty changes in the EU and any proposed claw-back of controls from Brussels.

Then I read about a row breaking out in Ireland over how the German parliament had got hold of a draft of the next Irish budget before it had been reviewed and discussed in Ireland.

There was an article in the press yesterday which, when referring to Germany, stated something like "you no longer have to worry about Jackboots in Europe but you do have to worry about Bossy Boots" a rather unflattering reference to Merkel who is emerging as some kind of European control freak.

What is she trying to do?

She runs a very strong risk of creating a situation that she supposedly is very much against – members of the EU (not just the Euro zone) revolting against this "I am in charge, you will do what I say" attitude.

Such actions (as above) will only add fuel to the fire in the UK for not just a review of our relationship with Europe, but also whether we should be in it at all as it looks increasingly likely that decisions will no longer be made in Brussels for the good of all members, but in Berlin for the good of Germany.

This is all adding to the uncertainty within the markets, and global stock markets have all opened lower again this morning – FTSE 5390.

Currency markets are still holding fire – Euro/$ still around 1.3500 – which concerns me somewhat. Volumes are very low, and I don't know of many people that are actively trading which in my experience is very strange.

Cameron is meeting with "Bossy Boots" today to discuss the "Tobin" tax amongst other issues, and I am of the opinion that the leaked German memo is an orchestrated attempt to put additional pressure on Cameron to toe the German line on Europe – I am hoping he has the gumption to tell her where to stick her Bratwurst as I am one of the growing crowd of those that are becoming somewhat concerned at how Germany appears to have taken advantage of the economic situation to extend its control over Europe.

Germany has already facilitated 2 changes in Government in Southern Europe, which will now be run by Technocrats with historic links to the EU bureaucracy – who will be next?

More elections in Southern Europe over the week-end – will we see more puppets in power with their strings being pulled by Germany?

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The author, Rob (not his real name), works in one of UK's largest charities.