Europe's unity is at risk due to the pandemic

By: Miguel A. Rodriguez

09:45, 14 September 2020

1590147106.jpg
Perpetual bonds might be what the EU needs right now.

The controversial George Soros believes that the pandemic could bring the end of the European Union as we know it. 

Unless the EU issues perpetual bonds to help itself and the less wealthy countries, such as Italy, “it may not be able to survive the challenges it currently confronts," said Soros. From his point of view, the only solution that can work is for the Union to keep the credit rating at the same level, to issue the bonds and to have money-power to cover it.

Although for some, this idea is good, there is a need for solidarity between the European countries. But given the current situation, even the Franco-German monetary help is viewed with negativity by some states. After France and Germany presented their idea, the benchmarks opened lower, France40 shedding 0.9%, and Germany30 falling 0.5%.

The world can wait and see what will be the EU's next move.

Stay updated with the latest financial news! Register now and see what Capex has to offer!


Sources: forexlive.com, reuters.com, dailymail.co.uk

Share this article

This information prepared by capex.com/za is not an offer or a solicitation for the purpose of purchase or sale of any financial products referred to herein or to enter into any legal relations, nor an advice or a recommendation with respect to such financial products.This information is prepared for general circulation. It does not regard to the specific investment objectives, financial situation, or the particular needs of any recipient.You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation, or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.This information may not be published, circulated, reproduced, or distributed in whole or in part to any other person without the Company’s prior written consent.
Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of capex.com/zaJME Financial Services (Pty) Ltd trading as CAPEX.COM/ZA acts as intermediary between the investor and Magnasale Trading Ltd, the counterparty to the contract for difference purchased by the Investor via CAPEX.COM/ZA, authorised & regulated by the Cyprus Securities and Exchange Commission with license number 264/15.  Magnasale Trading Ltd is the principal to the CFD purchased by investors.

Most affected instruments

France40

$ 10

Germany 40

$ 10