SLIDE 1
The Euro Zone Crisis: End of the Beginning
Robin Brooks
Head of FX Strategy
December 2014
Goldman Sachs Global Economics, Commodities and Strategy Research
- Sovereign Crisis
Euro Zone Crisis: Is the worst of the crisis over?
The Euro Zone Crisis: End of the Beginning Robin Brooks Head of FX - - PowerPoint PPT Presentation
The Euro Zone Crisis: End of the Beginning Robin Brooks Head of FX - - PowerPoint PPT Presentation
The Euro Zone Crisis: End of the Beginning Robin Brooks Head of FX Strategy December 2014 Euro Zone Crisis: Is the worst of the crisis over? Sovereign Crisis Goldman Sachs Global Economics, Commodities and Strategy Research Euro Zone
SLIDE 2
SLIDE 3
Goldman Sachs Global Economics, Commodities and Strategy Research
- Sovereign Crisis
- Banking Crisis
Euro Zone Crisis: Is the worst of the crisis over?
SLIDE 4
Goldman Sachs Global Economics, Commodities and Strategy Research
- Sovereign Crisis
- Banking Crisis
- Growth Crisis
Euro Zone Crisis: Is the worst of the crisis over?
SLIDE 5
Goldman Sachs Global Economics, Commodities and Strategy Research
The Growth Crisis: A refmection of the strong Euro, ...
Source: GS Global ECS Research
SLIDE 6
Goldman Sachs Global Economics, Commodities and Strategy Research
The Growth Crisis: … which is showing up in defmation risk.
Source: GS Global ECS Research
SLIDE 7
Goldman Sachs Global Economics, Commodities and Strategy Research
The Growth Crisis: The OMT made a strong Euro even stronger.
Source: GS Global ECS Research
SLIDE 8
Goldman Sachs Global Economics, Commodities and Strategy Research
- The growth crisis is a strong Euro crisis.
- The most effective way to get the Euro
weaker is sovereign QE, as Japan shows.
- Germany needs to embrace sovereign QE:
no seniority, no NCB buying.
- Implications for the rest of the world are
positive, not negative.
The Growth Crisis: Germany needs to embrace sovereign QE.
SLIDE 9
Goldman Sachs Global Economics, Commodities and Strategy Research
Disclaimer
I, Robin Brooks, hereby certify that all of the views expressed in this report accurately reflect our personal views, which have not been influenced by considerations of the firm’s business or client relationships.