Focus of the day: G20 was held in Mexico City over the weekend
2012-02-27 12:30:36
The main theme of the conference was concern over the issues in Europe and more importantly the ability of Eurozone to deal with those issues.
The bailout fund set by the major EU countries required more input from major countries such as France and Germany. Germany, as Europe's
largest economy, has sent conflicting signals over whether it is ready to soften its position, and it came under intense pressure this weekend to
support enlarging the region's war chest.
AgroInvest comment: Eurozone has come to a position when major countries have no choice but to take responsibility for the countries that are
currently facing problems. Germany and France are under major pressure to increase inputs in the bailout fund, yet social pressure inside those
countries creates a dilemma. Germany is highly interested in Eurozone, even due to the currency reasons (reminder, Germany exports have
boosted since more expensive Deutsche Mark was replaced with cheaper Euro). France, on the verge of new Presidential elections will probably re-think its position over this year.
AgroInvest