As #Trump's destructive chaos leads global investors to desperately search for safe alternatives to US Treasury bonds and the #dollar, the EU has been given an unprecedented opportunity.🧵. #euro #eu #europe #safeassets #markets .

RT @IntlEconomy: Germany recently relaxed its “debt brake” limit on government borrowing. How will the rest of Europe incl the ECB react? A….

RT @pyquantnews: How a book written in 1910 can teach you calculus in 30 seconds:

RT @Brad_Setser: Don't think Xi is feeling that much pressure from Trump's trade war. Exports to the US dipped, but exports to the rest o….

Excellent, very timely paper. Deserves to be widely read and acted on in Brussels, Berlin, Paris and elsewhere.

RT @plegrain: Done right, eg Bruegel's EDM proposal, this could also help streamline military procurement, better integrate Europe’s fighti….

RT @plegrain: The best way forward is for a coalition of willing governments, both EU and non-EU (eg UK), to borrow collectively. As inves….

RT @plegrain: But three big constraints. 1. fiscal rules (now OK in the EU, not in the UK). 2. financial borrowing power (fine for Germany,….

RT @plegrain: Three immediate priorities:. 1. defend #Ukraine. 2. deter #Putin. 3. reduce dependence on #Trump. While this will eventually….

RT @plegrain: Later this month, #NATO is set to agree targets for higher #defence spending, by some future date. But Europe needs to rear….

Done right, eg Bruegel's EDM proposal, this could also help streamline military procurement, better integrate Europe’s fighting forces and even provide a much-needed lift to Europe’s struggling economies. Read my latest Substack essay for more.

The best way forward is for a coalition of willing governments, both EU and non-EU (eg UK), to borrow collectively. As investors seek alternatives to dollar assets, there's huge appetite for safe, euro-denominated bonds. .

But three big constraints. 1. fiscal rules (now OK in the EU, not in the UK). 2. financial borrowing power (fine for Germany, less so for France and UK). 3. political feasibility (OK for Germany & France, less so for UK; Hungary veto at EU level). .

Three immediate priorities:. 1. defend #Ukraine. 2. deter #Putin. 3. reduce dependence on #Trump. While this will eventually require tax rises and/or spending cuts, the best way to fund a big emergency boost to defence spending is by borrowing more for a few years. .

Later this month, #NATO is set to agree targets for higher #defence spending, by some future date. But Europe needs to rearm massively, right now. The threat from Putin is imminent, as is the risk that Trump abandons #Europe, or betrays it. 🧵.

First @elonmusk destroyed his popularity with everyone who is against @realDonaldTrump. Now he's destroying his relationship with Trump. Great work! . Maybe time to write a sequel to "How to win friends and influence people"? 🤣

RT @s8mb: Once we have more of our money in these assets, the political demand will grow to prop them up and protect them from failure. It….

RT @s8mb: For most Brits, 99% of their lives are already "invested" in Britain – their jobs, homes, and the solvency of the UK state. Forc….

RT @robin_j_brooks: Markets trade US tariffs as a global shock that hits everyone similarly. That's wrong. The US is a big net importer, so….

#Trump's global impact in one chart

RT @Kasparov63: I warned the world about Putin, now I’m warning America about Putinization. Rhetoric about enemies within. Power privatized….