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Euro Bond

How long will Germany tolerate the incompetence of others ( call it their arrogance)? How long before EU eventually breaks down?

http://blogs.wsj.com/marketbeat/2011/09/08/greek-cds-spreads-go-stratospheric/

The rest of Europe is losing patience with Greece. Germany has hinted Greece will not get its next bailout check unless it gets its act together, and Finland reiterated its insistence on collateral for more Greek aid, a controversial condition that has Europe divided and threatens to delay new agreements.
“The euro zone has spent a year trying to bail out an overindebted country by loaning it more money,” LeBas said. “That’s not going to work in the long run. Some form of Greek default is a largely foregone conclusion.”
The Italian government has come up with an austerity plan that includes spending cuts and tax increases to the tune of EUR50 billion, which will be put to vote in parliament next week. Spain is also attempting budgetary controls to shore up investor confidence.
Meanwhile, there are murmurs about Greece being asked to leave the 17-country euro-bloc. While there are denials from all sides that such a proposal is in the offing, the rumors add fuel to the theory that this may be an option, said Otis Casey, credit analyst at Markit.
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Another German leaves ECB, over purchasing of sovereign bonds.

http://www.cnbc.com/id/44451534

The ECB confirmed Stark would be the second German policymaker to leave the bank this year after Bundesbank chief Axel Weber quit in February—a move also spurred by his opposition to the bond programme.
"This is remarkable," said Manfred Neumann, emeritus economics professor at Bonn University and former thesis adviser to Bundesbank President Jens Weidmann. "Stark held the same view of the bond-buying as Axel Weber and the current Bundesbank president. It is a position that all the Germans have. This is a sign of huge problems within the central bank. The Germans clearly have a problem with the direction of the ECB."
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How long before most European countries loose their sovereignty to Germany?

http://www.cnbc.com/id/44439054

The German constitutional court on Wednesday made it very clear that any assumption of liability by Berlin must only come with greater control over other country's economic sovereignty.
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There is a line of research stating that US and UK big money cannot afford having euro currency around in the middle term so their financial hubs are trying and dismantle the Union by hitting the weakest links. After the PIGS, it's now Italy and France.

The latest Financial Times reports that the Italian Economy Minister Mr Tremonti went to China hat in hand last week and asked for help buying the national debt. Italian officials from the government have confirmed that today. It is going to be juicy.
 
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