Comments on: Europe Does Its Bit

By: Edward

Edward — Sat, 03 Sep 2005 16:15:57 +0000

Like I was suggesting, it is the CA deficit which is likely to be where the most impact is noted (that and short term unemployment numbers). Morgan Stanley’s Richard Berner points out the portis currently:

“accounting for 8.9% of exports and 3.6% of imports”

It is much more important by volume than by value, since most of the agricultural products have low price/weight ratios.

Of course a spike in the US deficit could push the dollar down and the euro up slightly.

By: Guy

Guy — Sat, 03 Sep 2005 15:08:25 +0000

Belgium has three medical teams ready, called B-Fast. They are waiting for the American ambassador to give them ‘the green light’.

By: Oliver

Oliver — Fri, 02 Sep 2005 23:48:01 +0000

The German reserves are 50/50 crude oil/processed stuff.And no, the US consumption is vastly larger. Therefore, is it sensible to release reserves if nothing is done to lower consumption? Lowering the price will have the opposite effect.

The German reserves are held on the government’s orders but not by the government. It wouldn’t benefit the government except by taxation.

By: Colman Reilly

Colman Reilly — Fri, 02 Sep 2005 21:50:19 +0000

That was me. How on earth did I do that?

By: khr

khr — Fri, 02 Sep 2005 21:48:54 +0000

khr, We had a thread on EuroTrib.com yesterday about international offers of help.

By: Doug

Doug — Fri, 02 Sep 2005 21:48:25 +0000

Not true, not true. There’s plenty to blame on Bush in this disaster, and there was an initial quote along these lines, but that stance has been amended. On the other hand, the chaos factor is enormous and I don’t think people on the scene have any way to deal with international offers, much less seek them out. For private donations, the American Red Cross is still the way to go.

By: Karl Ostendorf

Karl Ostendorf — Fri, 02 Sep 2005 21:29:50 +0000

khr,

Bush declined outside assistance so there is no opportunity for an international relief effort.

By: khr

khr — Fri, 02 Sep 2005 21:21:53 +0000

PS: At what price would that gasoline be released ? Could bring nice profits for the treasuries.

By: khr

khr — Fri, 02 Sep 2005 21:20:03 +0000

Gasoline is rather more volatile the crude oil.

How easy is it to ship gasoline across the Atlantic ? Can you simply pump it into a standard tanker ? How many of those are available right now ? What is the port capacity for gasoline on both sides ?

And I presume that reserves equivalent to 90 days German or Spanish consumption is not exactly 90
days US consumption ?

Related question: I see very little news about international humanitarian relief efforts being prepared. Are they not needed ? Are the main media just not reporting them ?