COMMENT: Supplementing our previous discussion of the central role of German banks in precipitating the euro-zone crisis, we relate the observations of an Italian politico.
Hitting the nail on the head, Renato Brunetta has blamed the euro-zone sovereign debt crisis on Germany.
Of paramount significance here is Mr. Brunetta’s comment that the German machinations were “almost a victory in the third world war.”
What Brunetta is taking stock of here is the fundamental German adherence to the theoretical doctrine of Carl von Clausewitz, which we’ve highlighted in our previous post. Germany is using its banks and bankers instead of armies, tanks and planes.
It is vital to understand that the events overtaking the world were deliberate and preconceived. Germany is waging World War III in the economic sphere, rather than the military one.
In addition, the European Commission is concerned that German bank regulators are deliberately obstructing the free movement of capital.
EXCERPT: Germany caused the euro-zone sovereign debt crisis as a way to prevent the collapse of its own banking system, a senior ally to former prime minister Silvio Berlusconi claims....
“Mr. Brunetta sought to link allegations that Deutsche Bank AG (DB) hid potential derivative losses from regulators to the bank’s large-scale sale of sovereign bonds issued by peripheral euro-zone nations, including Italy.
The U.S. Securities and Exchange Commission is investigating allegations made by two former traders. Deutsche Bank has denied the claims.
Mr. Brunetta said that German bund yields had been inching up in early 2011, highlighting fears of the solvency of Germany’s banks. He claimed the banks, “probably with the implicit support of Berlin, decided to transfer the potential crisis of their own private banking system on to countries considered the weakest in the euro area.”
“As yields rose in peripheral countries, they fell sharply in Germany, allowing Ms. Merkel to seek to “create a hegemony over the euro zone” and turn the focus from banking to public finances, Mr. Brunetta said, describing the operation as “almost a victory in the third world war.”
EXCERPT: The European Commission is concerned that German bank regulator BaFin may be inhibiting the free movement of capital in Europe’s common market, German daily Handelsblatt said.
The commission and the European Banking Authority are scrutinising BaFin’s policy to demand that banks — including subsidiaries of foreign lenders — keep sufficient liquidity for their German operations, the paper said on Thursday.
It cited a spokesman for Internal Market and Services Commissioner Michel Barnier. . .