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Macron says €300B in EU savings sent to the US every year will be invested in EU

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Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#201

Post by f1shy »

forty wrote: post #142
f1shy wrote: post #97

Earlier quoted context omitted.

Sorry, the standards imposed to meat from south america is way higher than the European. Wine is nearly impossible. And spicies like paprika also require higher standards than in Europe. I don’t know what you mean with that. Free trade does not mean there are no standards to met. Same standards will be imposed (as are already imposed) to anything imported in the EU. Also in south America, because of size you don’t ne…

Do you have sources for what you say for meat for example? From what I could read on this topic, they don't have the same traceability constraints, may use growth hormones that are forbidden here, etc. To add to the absurdity, one of the thing we Europeans will be able to export more to SA is chemicals, including those which we forbid here because they damage health and environment...

Ask the owners of this shop:

https://www.mate-tee.de/en/

Or people exporting meat I happen to know. Independent of all requirements for anything in the EU, that of course has to be met, they will ask for lots of things above and beyond. That is the reality of the market. If you want to play with such a big market, it won’t be easy.

I know a guy who had paprika plantation, wanted to sell to Germany. They asked conserved samples of the last 20 years to guarantee consistency. That is just not normal.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#202

Post by forty »

f1shy wrote: post #201
forty wrote: post #142

Earlier quoted context omitted.

Do you have sources for what you say for meat for example? From what I could read on this topic, they don't have the same traceability constraints, may use growth hormones that are forbidden here, etc. To add to the absurdity, one of the thing we Europeans will be able to export more to SA is chemicals, including those which we forbid here because they damage health and environment...

Ask the owners of this shop: https://www.mate-tee.de/en/ Or people exporting meat I happen to know. Independent of all requirements for anything in the EU, that of course has to be met, they will ask for lots of things above and beyond. That is the reality of the market. If you want to play with such a big market, it won’t be easy. I know a guy who had paprika plantation, wanted to sell to Germany. They asked conserv…

Ah yes ok, that some high quality importers are careful and asking higher standards I totally believe it, and can easily understand that they might ask even more guarantees than from the farm next to them.

But there are always buyers for the cheapest products too.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#203

Post by disgruntledphd2 »

pipes wrote: post #151
alephnerd wrote: post #135

Earlier quoted context omitted.

If something is hypothetically possible but practically impossible, then the mental exercise is a waste of time, and distracts from thinking about an actual solution. For example, Trump could impeached and removed from office, but that isn't happening. So what's the solution?

I think if people were forced to invest their pensions in shitty EU stocks there would be push back. Also moving public sector pensions into EU stocks won't deliver the growth required, they are already unsustainable.

But there's a chicken and egg effect here in that the stock prices are low because of low investment and the stocks are bad because the stock prices are low.

For instance, Meta has basically doubled in price from a few years back but their business is basically identical. Doesn't seem very efficient to me, at least.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#204

Post by torginus »

clickety_clack wrote: post #123
Havoc wrote: post #21

TIL EU savings rate is far more than US. 18.79% vs 3.50% Guessing that's somehow counting enforced deductions off paycheques. Would be a wild difference if not. https://tradingeconomics.com/european-union/personal-savings https://tradingeconomics.com/united-states/personal-savings

The Europeans I know seem to save in actual bank savings accounts, whereas the Americans I know seem to invest their money. Maybe I'm not looking hard enough, but I can't find a description of "savings" on those charts, so I think it might be ignoring American investments. To me, they are both types of investment, one a super safe option with a low return, and the other a more risky option with a higher return. From…

Isn't it a huge issue for Europe, that stock revenue is heavily taxed, while pensions accounts (which make the same investments) are not?

Which means it makes more financial sense to put the money into pensions accounts?

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#205

Post by Havoc »

clickety_clack wrote: post #123
Havoc wrote: post #21

TIL EU savings rate is far more than US. 18.79% vs 3.50% Guessing that's somehow counting enforced deductions off paycheques. Would be a wild difference if not. https://tradingeconomics.com/european-union/personal-savings https://tradingeconomics.com/united-states/personal-savings

The Europeans I know seem to save in actual bank savings accounts, whereas the Americans I know seem to invest their money. Maybe I'm not looking hard enough, but I can't find a description of "savings" on those charts, so I think it might be ignoring American investments. To me, they are both types of investment, one a super safe option with a low return, and the other a more risky option with a higher return. From…

I’d be very surprised if that site wasn’t counting stocks as savings.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#206

Post by Havoc »

pas wrote: post #179
Hamuko wrote: post #23

Earlier quoted context omitted.

This doesn't surprise me at all as an European. My mind struggles to understand how so many Americans live paycheck to paycheck.

that's true to some extent, but at this point it's mostly a meme (at least the 60% number was) > In 2023, 54 percent of adults said they had set aside money for three months of expenses in an emergency savings or “rainy day” fund—unchanged from 2022 but down from a high of 59 percent of adults in 2021. https://www.federalreserve.gov/publications/files/2023-repor... via https://www.noahpinion.blog/p/paycheck-to-payche…

That’s way higher than I’d have guessed. Maybe there is some sort of bimodal distribution happening there. Half the pop is flat broke the other has multiple months of buffer

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#207

Post by clickety_clack »

4gotunameagain wrote: post #200
clickety_clack wrote: post #182

Earlier quoted context omitted.

Practically, yes. But in economics they often classify “savings” only as being in a bank account. So if you “save” money in a 401k, where it’s invested in stocks, bonds or ETFs or whatever, then it’s not recorded as savings because they consider that “investment”. So when someone says EU saving is 18.79% vs US saving of 3.50%, most of the wealth saved by Americans isn’t showing up in that comparison because it’s not…

If it is just a matter of classification, then why would part of the problem lie on lack of private investment, when private savings are invested by the banks themselves ? I think a big a part is that a lot of EU money is invested in the US instead, and I am looking forward for that to stop..

There’s a whole lot of regulation around the types of investment a bank can make with the money. Most of it has to be low risk mortgages, loans and high quality bonds.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#208

Post by cmxch »

gizzlon wrote: post #195
realusername wrote: post #107

Earlier quoted context omitted.

Well no thanks, the US is going the same path Hungary and Turkey, just with a 10 year difference, autocrats are never good for business. As soon as Trump came in power I sold all my dollars and I was wise to do it. Expect things to go much more worse from here, this is only the beginning. For now the FED has relatively been untouched, it's not going to stay pristine forever.

yup, by going after Powell he is threatening the rest of them to vote the way he wants in the future. While it would be great if people of the US started to show some backbone and resist this fascist takeower, I'm quite pessimistic. What's going on makes me really sad. OTOH it's not too late!! We have seen trends like this turned around before.

The so-called “fascist takeover” is resisting you.

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#209

Post by 4gotunameagain »

clickety_clack wrote: post #207
4gotunameagain wrote: post #200

Earlier quoted context omitted.

If it is just a matter of classification, then why would part of the problem lie on lack of private investment, when private savings are invested by the banks themselves ? I think a big a part is that a lot of EU money is invested in the US instead, and I am looking forward for that to stop..

There’s a whole lot of regulation around the types of investment a bank can make with the money. Most of it has to be low risk mortgages, loans and high quality bonds.

Makes sense, thanks !

Re: Macron says €300B in EU savings sent to the US every year will be invested in EU

#210

Post by graemep »

ffsm8 wrote: post #159
graemep wrote: post #47

Earlier quoted context omitted.

How much do EU government run funds invest in the US?

The governments can quiet easily influence private investment decisions by adding additional taxes to us-based market trades for example. It'd be quiet easy if the EU governments actually wanted to do so - I'm not sure they actually do right now, however.

They can, but that invites retaliation. If they do it on all non-EU trades that is in effect an attack on investment in every non-EU economy. There are all sorts of consequences.

There are practical difficulties too. What is the investments are made through an off-shore subsidiary or by investing in a fund in the US? It might even encourage the latter (single trade to buy the fund instead of managing US investments) and mean management fees move to the US.

If they impose it on just US trades it might still be subject to the problems above and would be a very serious step and one investors will hate.

I think we might well end up with something like this and a return to more money going to national capital markets rather than global, but its not going to be an easy transition.

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