The decisions made on the U.S. Fiscal Cliff will affect economies all over the world. Fast action is needed to minimize the financial impact – and solutions that may have worked for the European debt crisis just won’t cut it for the world’s largest economy.
Canada continues to be affected by a dampened outlook on the global economy as the Bank of Canada announced today that it would hold its rate due to lower-than expected economic growth since its April report.
It’s been a morning of change for the EU as a surprising decision was made at the 20th economic summit of European leaders. In the most anti-austerity move to date, the ECB is now able to directly fund the banks of nations in economic need – without the restrictions of deficit increase or troika oversight. It’s a move with particular payoffs for Spain and Italy – and a big step back for pro-austerity Germany.