Wolfgang Munchau writes intelligently today for Eurointelligence
warning of three real reasons to panic. One: a US recession is now imminent, and is going to be painful for the global economy; ’soft landing’ talk is self-serving and reckless; second the threat of a ’severe financial crisis in the global credit markets’; and third, the failure of the Euro zone to stimulate domestic demand, and its over-dependence on exports….Yesterday’s story about Airbus cutting 1,600 jobs in the UK is linked to the three stories: namely a) the US slowdown and the decline in value of the dollar, which has hurt Airbus, as it has hurt thousands of other people doing business with the US; b) too much debt and c) the dependence of the Eurozone on exports….

Still, very few seem to be panicking.