From Precy Dumlao, Opalesque Asia:
The latest act of the European Central Bank to decisively contain the Greek debt default crisis which has threatened the euro currency will strengthen Europe's Monetary Union in the long term but weaken the region's growth in the shorter term, said Swiss banking group SYZ & Co. in its latest "Point of View" newsletter published this month. The firm also expects Germany to emerge the winner from the current situation.
Despite the EU's bailout package to save the Greek economy, the report added that in the past few weeks, the global markets have been hit by a marked sharp increase in volatility and clear-cut increase in risk aversion.
The same concern was raised by Ron Ianieri, Chief Market Strategist at financial consulting firm Ion Options
when he appeared on BBN's Headline last week and said that the $1bn program by the ECB to assist ailing members of the EU was just a temporary fix but will not solve completely solve the problem.
Outlook by region
The U.S. economy is on its way to recovery are gaining strength, SYZ said. The
Gross Domestic Product recorded a third consecutive quarter of growth at the beginning of 2010, increasing by 3.2% at an annualized rate. But the bank said the recovery of......................
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