Those of you who are old enough can remember the 80s. Not only the music from the 80s but politics on the right side. UK`s PM Margareth Thatcher and US President Ronald Reagan. Two characters who did so much great for the world.
Take a closer look at the pound. It`s 1 against the US dollar. Just like it was in the ’80s. The economy in the UK is in trouble, but PM Liz Truss wants to do something about that. And what she`s planning to do is very similar to Trump’s policy: tax cuts.
Liz Truss is pro-growth, and this is similar to Giorgia Meloni`s policy. They are both dismissed as extremists, and people are worried. Truss is also pro-fracking, and she will end the ban on fracking from oil and gas.
On top of that, she will provide relief for rising energy costs, reduce to the income tax rate, and slash corporate and payroll taxes. This is very similar to Trumponomics. If not to say; Reaganomics. And if Liz Truss can do all this, she can become the UK`s next Margareth Thatcher.
Many people believe that the more tax people pay, the more the government earns. But it isn`t that easy, and it doesn`t always work like this. When you raise taxes, very often we can see that revenues are declining.
I like to see a cheap pound because it makes me buy things from the UK very cheap. The lower the pound is, the cheaper the products are. Not only that. A lot of people around the world will take their next trip to the UK because of a lower pound. It means a party for the rest of us, and that can boost the economy in the UK. This is bullish.
Italy is doing the same. Meloni will cut taxes as well, and people are worried. They call them both extremists and neo-fascists. But they are the opposite. Let`s wait and see.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Many people around the world are in shock as right-wing Giorgia Meloni is set to become Italy`s first female prime minister. The leader of the euro-skeptic Brothers of Italy party won a clear majority in Sunday`s election.
Meloni was born in the place where everything started: Rome. A place on earth where everything was fine until Julius Ceasar was killed and Rome started to collapse. Now, thousands of years later, the Italian politician and journalist Giorgia Meloni is the new leader.
She`s been a member of the Chamber of Deputies in Italy since 2006, has led the Brothers of Italy (Fd) political party since 2014, and has been the president of the European Conservatives and Reformists Party since 2020.
Meloni joined Youth Front, the youth wing of the neo-fascist political party Italian Social Movement (MSI) in 1992. She was appointed Minister of Youth in the Berlusconi IV Cabinet, a role she held until 2011. In 2012, she co-founded Brothers of Italy (Fd) and became its president in 2014.
She is a right-wing populist and Italian nationalist, and her political positions have been described as far right. She is opposed to abortion, euthanasia, and to partnerships, marriages, and parenting by same-sex couples, instead asserting that nuclear families are exclusively headed by male-female pairs.
Opposed to the reception of non-European migrants and multiculturalism, she has been accused of xenophobia and Islamophobia. A supporter of NATO, she maintains Eurosceptic views regarding the European Union and she was in favor of better relations with Russia before the 2022 Russian invasion of Ukraine, which she condemned, pledging to keep sending arms to Ukraine.
In 2004, Meloni was the first woman president of Youth Action, the AN youth wing. During these years, she worked as a nanny, waitress, and bartender at the Piper Club, one of Rome’s most famous nightclubs.
Meloni`s policy is more like Trump`s; Italians first. She also has an anti-immigration policy. Many people around the world are worried that her leadership could have a huge impact on other places around the world. Because Meloni and Italy are not alone.
Salvini, Berlusconi, and Meloni led their right-wing alliance to election victory, and people around the world react to it. Right-wing Marine Le Pen was one of the first to congratulate Meloni on the win, and she tweeted:
«The Italian people have decided to take their destiny into their own hands by electing a patriotic and sovereigntist government. Congratulations to Giorgia Meloni and Matteo Salvini for resisting the threats of an anti-democratic and arrogant European Union by obtaining this great victory!»
The Kremlin said Moscow was open to developing «constructive» ties with Rome. «We are ready to welcome any political forces that are able to go beyond the established mainstream, which is filled with hate for our country… and show a willingness to be constructive in relations with our country,» Kremlin spokesman Dmitry Peskov said.
Balazs Orban tweeted this: «Congratulations to Giorgia Meloni, Matteo Salvini, and Silvio Berlusconi on the elections today! In these difficult times, we need more than ever friends who share a common vision and approach to Europe`s challenges.»
Polish Prime Minister Mateusz Morawiecki congratulated Meloni and hailed the Italian far right`s «great victory.» Poland`s governing Law and Justice (PiS) party and the Brothers of Itlay are both parts of the right-wing European Conservatives and Reformists (ECR) group.
Former prime minister Beata Szydlo tweeted: «I`m glad that a party from the ECR group is assuming responsibility for yet another European nation.» Other Polish governing politicians highlighted the overlap between the two parties, including their emphasis on Catholic family values.
«The EU right is growing stronger….. We will defeat the communists, leftism, and the LGBT lobby. Everyone who is ruining our civilization,» Deputy Agriculture Minister Janusz Kowalski said on Twitter.
Deputy Justice Minister Michal Wojcik said Meloni`s victory was a «defeat» for European Commission President Ursula von der Leyen, calling her a «representative of anti-democratic forces in the EU.»
Juergen Hardt, a lawmaker and foreign policy expert for the conservative Christian Democratic Union in Germany (CDU), said he was troubled by the «openly post-fascist statements» of Meloni and the «hair-raising positions» of her fellow Brothers of Italy party members.
«Racism and the exclusion of minorities can no longer have a place in Europe,» Hardt told the DPA news agency. Hardt said Berlusconi, who is nearly 86 years old, had acted as kingmaker in order to share power once more.
Secretary of State Antony Blinken said the United States looked forward to working with Italy`s new government but would encourage respect for human rights. « We are eager to work with Italy`s government on our shared goals; supporting a free and independent Ukraine, respecting human rights, and building a sustainable economic future,» Blinken tweeted.
«Italy is a vital ally, strong democracy, and valued partner,» Antony Blinken said.
Giorgia Meloni is Italy`s first-ever female prime minister at the head of its most right-wing government since World War Two. What is the Pope saying now?
Spanish Foreign Minister Jose Manuel Albares warned on Monday that populist movements always surge during difficult times but always end badly in response to the election results.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Europe is in trouble. The growth is plummeting. The Euro area «is facing an economic contraction of a magnitude and speed that are unprecedented in peacetime», the ECB president Christine Lagarde said on a news conference in Frankfurt, Germany earlier today.
The Eurozone economy shrank by 3,8 percent on quarter in Q1, and that was the steepest contraction since comparable records began in 1995 as a coronavirus lockdown from mid-March forced businesses to close and consumers to stay at home.
And this is just the beginning. Ms Lagarde suggested euro area GDP could fall by between 5 and 12 percent this year. I repeat: 12 percent!
Not only the euro area came out with the GDP news today. France came out with their bad news today. The French economy shrank 5,8 percent on quarter in the three months to March 2020. And you know what; they are entering a technical recession. I repeat; recession!
This is ugly. This is the steepest decline in GDP on record, as the Covid-19 outbreaks stopped the economy. Household consuption plummeted -6,1 percent, led by falls in spending on both goods and service, fixed investment; -11,8 percent. Foreign demand contributed negatively as both exports and imports fell.
Italy is also in a technical recession. Italy`s GDP shrank 4,7 percent on quarter in the three months to March of 2020. It was the steepest contraction since comparable records began in 1995, as the country was severely hurt by the coronavirus pandemic during March.
The domestic and external demand contributed negatively to the GDP in Italy.
Spain is in the same club. Their economy shrank 5,2 percent on quarter in the first three months of 2020. That is the steepest contraction since the series began in 1995, as the Covid-19 pandemic forced the government to impose lockdown measures in mid-March.
Years of economic growth is wiped out at a pace never seen before. Not only in Europe but also in the United States. The unemployment rate go straight up and the personal spending go straight down.
Personal spending in the US dropped 7,5 percent month-over-month in March 2020, and that was the largest decline in personal spending on record, as the coronavirus crisis hit households’ demand.
Within services, the leading contributor to the decrease was spending on health care.
What`s interesting to see is that France has the highest personal income tax rate in Europe, which is 45 percent. At the same time they have a very high unemployment rate; 8,1 percent. Not only that; their Dept to GDP is 98,10 percent.
Unemployment rate in Italy is 8,4. Personal income tax rate is 43 percent. Both very similar to France, but Italy`s Debt to GDP is 134,8 percent.
Government Debt to GDP in Spain is 95,5 percent with an unemployment rate of 14,41 percent. Personal income tax rate is similar to France and Italy; 45 percent.
France, Italy and Spain has also a lot of problems with the coronavirus. They are all on top of the debt burden list, but they are also on top when it comes to covid-19.
It seems like it is a correlation between debt, high unemployment rate, personal tax income and coronavirus deaths. In comparison; the US debt to GDP is 107 percent as of December 2019. Experts say it will be worse.
To contact the author of this story: Ket Garden at post@shinybull.com
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
The next election to the European Parliament is expected to be held between 23 and 26 May 2019, and will be the ninth parliamentary election since the first direct elections in 1979. A total of 751 members of the European Parliament (MEP`s) currently represent more than 512 million people from 28 member states.
The polarization of the European Parliament after the 2019 election is growing. Centrist parties, including center-left, center-right and liberal parties, are struggling to maintain a majority (376) of seats.
The ninth parliamentary election will make a big change because new parties such as Confederation and Kukiz15 of Poland, Czech Pirate Party of Czech Republic, Alliance, Basta! And Liberal Initiative of Portugal, USR and PLUS of Romania, LMS of Slovenia, Human Shield, Most and Workers Front of Croatia, L`SNS and Sme Rodina of Slovakia will participate.
For the liberals, the biggest hope is that the new La Rèpublique En Marche! of French President Macron will choose to join ALDE after the elctions.
However, En marche is expected to be more likely to try to form a new parliamentary group of pro-European centrists who support Macron`s plans to reform the European institutions, thus drawing away members from ALDE, EPP and S&D.
Possible partners for such a project might include Spanish Ciudadanos, Progressive Slovakia and the Hungarian Momentum Movement. While it is likely that En Marche will put together the minimum of 25 MEPs needed to form a group, the requirement to include MEPs from at least seven member states would be more difficult.
The European Spring initiated from the Democracy in Europe Movement 2025 will run as a pan-European party alliance with one unified vision for Europe; the European Green New Deal.
The most prominent figure is the former Greek minister Yanis Varoufakis, who will run as candidate in the constituency of Germany.
Volt Europa, a pan-European progressive movement, will run in several countries under the same name in the attempt to form its own group.
The leader of the Italian Five Star Movement has expressed a desire to form an anti-establishment faction of their own within the EU.
Pablo Iglesias, Catarina Martins, Jean-Luc Mèlenchon and several others have formed an alliance in Maintenant le Peuple opposed to the PEL, but they are likely remain in GUE/NGL.
The Movement is an alliance of right-wing populist parties set up by Steve Bannon with the purpose of contesting the European elections. Participating parties include Lega Nord, People`s Party of Belgium and Brothers of Italy and possible French National Rally.
Originally envisioned as an attempt to unite the right-wing populist parties in Europe. The Movement has so far been snubbed by the Alternative for Germany, the Freedom Party of Austria and the UK Independence Party.
The biggest party is the European Peoples Party (EPP), followed by Progressive Alliance of Socialists and Democrats (S&D) and Alliance of Liberals and Democrats for Europe (ALDE) + En Marche! Next can be Salvinis European Alliance of People and Nations (ex ENF).
EPP`s Incumbent Jean-Claude Juncker has stated he will not seek a second term as President. Two candidates sought the nomination of the EPP: Alexander Stubb, the Vice-President of the European Investment Bank, former prime minister, foreign minister and finance minister of Finland.
Manfred Weber, current group leader for the European People`s Party in the European Parliament and member of the Christian Social Union in Bavaria has been backed by Angela merkel as Spitzenkadidat for the party.
Oriol Junqueras, a Catalan historian, academic and former Vice President of Catalonia who is currently imprisoned because of his involvement in the 2017 Catalan independence referendum, is the Spitzenkadidat of the European Free Alliance.
Eurosceptic parties are expected to make a strong showing at the polls and all the Brexit-mess have made Eurosceptics more silent. So, instead of leaving the EU, Europes right-wing nationalists like Marine Le Pen of France, Italys Matteo Salvini, and the AfD will stay and rather try to «change the EU from the inside».
European economics commissioner Pierre Moscovici has warned of the dangers of a populist «breakthrough» for the EU`s future. He describes these elections as the «most delicate and most dangerous ever».
The nationalist Eurosceptics threatened to «destroy the EU as we know it», Pierre said. Choose your future.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
No deal is not only bad for the United Kingdom but also for the European Union as well. No deal will make them both suffer economically. Populist-Italy is already into a recession and a no deal will not make it any better.
A no deal means less Italian Prosecco for the U.K. Britons bought a record 164 million bottles of champagne and sparkling wine last year, but the effects of Brexit has hit Prosecco long time ago. For the first time in over a decade, exports of Prosecco to the U.K are slowing.
Prosecco is made from Glera grapes grown in the area surrounding the village of Prosecco near Trieste in north-east Italy. In 2015, Prosecco overtook champagne as Britain`s favorite sparkling wine, but it seems like the popularity has peaked for a while.
According to UHY Hacker Young, the Prosecco sales increased by only 5% compared with the previous year which is the smallest annual sales growth since 2011. A 5% decrease in sales isn`t bad, but it is bad compared to several yars of double-digit growth, and this can only be the beginning if we se a no deal between the U.K and the E.U.
Britons consumed 112,7 million bottles of DOC Prosecco in 2016 and exports to the U.K, U.S and Germany accounted for 75% of the sales.
If Boris Johnson want a bottle of Prosecco on Valentines day, he have a great chance to buy it at a normal price, but it can be one of the last chances because a no-deal Brexit will stifle trade and limit choice.
A deal win-win deal will help them both. Italy will sell more bottles of Prosecco and Britons will continue to enjoy a wide range of quality sparkling wines on Christmas eve later on this year. A deal without tariffs.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Ket Garden
Shiny bull 