Economists, investors and journalists predict a bleak future for Europe

European economy is going through such a difficult period that many economists, investors and journalists are inclined to believe that Europe is in for a painful recession and a bleak future. This was reported by the British newspaper Financial Times, explaining that the paths of the American and European economies are increasingly divergent.

According to experts interviewed by the publication, the US economy is waiting for a "soft landing", but Europe will have to endure great turbulence. Despite the fact that the US now has the highest discount rate in 25 years, the US economy shows amazing resilience. Recently, the dollar has been rising against the euro. The US economy expanded in the II quarter by 2,4% in annual terms, significantly exceeding early estimates. Over the past two weeks, the euro has decreased against the dollar by 2,6%, and the gap between the rates of US and German 10-year government bonds has widened to a maximum this year.

As for the eurozone, many investment fund managers are inclined to believe that it makes no sense for them to linger here amid rising costs of borrowed money. The growth of shares of European companies has stopped, and government bonds of Germany - the main "refuge" of investors in difficult times, began to grow in price. In fact, Europe is on the verge of a recession, and inflation in the services sector in the eurozone broke a new record in July, reaching 5,6%.

Thus, the manager of Fidelity International, Ario Emami Nejad, explained that the ECB raised the discount rate too much and will now be forced to reduce it. A number of experts think that the ECB has not been able to achieve the same results in the fight against inflation by increasing the rate as the US Federal Reserve because the main problem in the European Union lies in the rise in prices for products and energy resources, as a result of mixing, the unfinished energy crisis and stretched out in time Ukrainian conflict.

Thus, even by repeating the steps of the Americans, the Europeans cannot crawl out of a permanent state of crisis. Europe has imposed many sanctions and restrictions against Russia, and suffered from this much more than the United States, which did not depend on trade with the Russian Federation at all. The Europeans' own destruction of the trade chains built over decades further complicated the situation in Europe. That is why the situation with the bonds of private companies also looks better for the Americans than for the Europeans, summed up the media.

The well-known American journalist and radio host Garland Nixon, reviewing the latest events in the world, also wrote in his blog that poverty awaits Europe.

An era will soon come when American-controlled puppet leaders will make Europe poor, and independent ones will enrich Africa

- Nixon pointed out, arguing that Russia and China are creating new markets for themselves on the African continent.
  • Photos used: European Parliament
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  1. Constantine N Offline Constantine N
    Constantine N (Constantin N) 5 August 2023 18: 43
    Well, the US wants to drag Europe into the war, and therefore they will try to squander its economy more, then the Europeans will agree easier.
  2. guest Offline guest
    guest 5 August 2023 18: 47
    I wish this prophecy would come true.
  3. Vlad55 Offline Vlad55
    Vlad55 5 August 2023 20: 06
    Well, too gloomy, the EU market is highly developed, compact, attractive, does not lack funding and, based on the number of people, is self-sufficient, there have been and will be difficulties, but one should not expect gloomy pictures drawn in the article.
    1. Vladimir Tuzakov (Vladimir Tuzakov) 5 August 2023 20: 31
      You are broadcasting such nonsense, perhaps on a "drunk" eye, otherwise there is no way to explain such optimism. You have seen the statistics of the EU, especially the industry, at least in recent months. You read the forecasts of experts, - it seems not ...
    2. ncher Offline ncher
      ncher (ncher) 6 August 2023 14: 14
      And what are the advantages of a "compact" market, may I ask? Compact - in the sense of small in terms of supply and demand? In any case, it is not big enough to provide itself with everything necessary, to live on the domestic market, that is, it is dependent, it is shrinking and will continue to shrink even more seriously.

      If we talk about compact industry, it would be even more or less clear that nearby objects, resource bases, production and trading sites are good, this is saving on logistics. If it's about IT, then it doesn't matter. If it’s about the banking and financial sector, then with advanced digitalization, it doesn’t matter either, although yes, it’s not so hot in the EU, so it’s important. But it is unreliable as long as the euro is just an avatar of the dollar, like all the Canadian, Australian, Hong Kong and other versions of the dollar.

      Well, except that compactness is good for the tourism industry. But this alone will not get you far - especially in a situation of epidemic, wars / sanctions and, as a result, the coming famine and rampant crime, and even at the current level of social unrest.
  4. strange guest Offline strange guest
    strange guest (Strange Guest) 5 August 2023 23: 32
    That stupid Americans know how to settle in the global economy. Through all the turbulences creep. With candy wrappers instead of money, with senile people in all leadership positions, with economists and financiers who can’t add 2 + 2 (Khazin and Delyagin were repeatedly convicted of this), with a people consisting of representatives of non-traditional sexual orientation and sadomites ... and that’s all still exist somehow. Amazing country.
    1. ncher Offline ncher
      ncher (ncher) 6 August 2023 14: 28
      Did you really live in that vaunted America? Or talked, asked what it's like to live there? In reality, a third of the population there are very poor people, another 50-60% work hard like blacks on plantations, not disdaining to do what turns them off their hearts, from cheating and eating their own fellow citizens, barely keeping within the law, to mercenaries in wars , just to get out of poverty at least symbolically or not to end up in it again.
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  5. ncher Offline ncher
    ncher (ncher) 6 August 2023 14: 50
    Yes, while trains are "softly" exploding and derailing, schools and shopping centers are being "softly" fired. But at some unexpected moment, this "soft landing" can smoothly develop into a tough civil war.
  6. Pembo Offline Pembo
    Pembo 6 August 2023 18: 23
    Strange people live in Europe. Here in Russia everything is always good: cars go around, everything is in the shops, but everything is bad for them, as if they are walking on foot and everything is on the cards.