Tuesday, 22 May, 2018

Italian populists on final straight for govt deal

Rome Still unclear who would be PM as populist duo vie for power Rome Still unclear who would be PM as populist duo vie for power
Sammy Stanley | 17 May, 2018, 18:05

Italy's two largest parties, the far-right League and anti-establishment 5-Star Movement, both appeared to reject a call by President Sergio Mattarella to form a "neutral government", saying early elections were preferable.

If formed, the government will then look to battle the European Union establishment.

"It would be insane to give up at the moment of truth", he said, adding that he would not be intimidated by negative reaction from financial markets or attacks from the media against the two anti-system parties.

"We'll need to cope together with the European challenges as we do with other EU leaders, not all of them are flawless", one of the EU officials said.

5-Star leader Luigi Di Maio. The euro fell to a five-week low against the dollar, and Italy's benchmark 10-year bond was set for its biggest one-day gain since July of last year.

The opposition Democrats have warned that the League's vow to drastically lower taxes to a flat 15-percent rate and the 5-Stars' promise of subsidies to the poor will drastically drive up government borrowing.

Some of the other items still in red in that version include parts of a hardline immigration policy that would see Italy increase detentions of undocumented immigrants and speed up deportations.

"From Europe we have the umpteenth unacceptable interference by unelected officials", he said, also criticising migration commissioner Dimitri Avramopoulos for having said that he hoped that Italy's current migration policy will not change.

The Vegas Golden Knights Intros Are Weird, and Getting Weirder
Less than two minutes later, he smothered the puck with a slew of players piled near the crease. "He made unbelievable saves". Fleury's third-period performance included back-to-back marvelous saves that preserved Vegas' one-goal lead.

Back in the currency markets, sterling rallied against both the dollar and the euro after a United Kingdom newspaper reported that Prime Minister Theresa May would tell Brussels that Britain was prepared to stay in the European Union's customs union after a transitional arrangement beyond 2021.

News of the draft accord has caused concern in Brussels, where European Commission Vice President Valdis Dombrovskis told the EU parliament on Thursday that Italy's new government should stick to fiscal discipline and keep reducing public debt.

Pressure on Mexico's peso returned as hopes for a new-look NAFTA trade deal with the US and Canada were pushed back and as the country's central bank said its systems had been hit by a 300 million pesos ($15.33 million) cyber attack.

Both groups have a history of euroscepticism.

North Korea's possible cancellation of a June 12 summit in Singapore added to geopolitical worries for financial markets, given it could see tensions on the Korean peninsula flare up again and damage US-China efforts to resolve an ongoing trade dispute.

"While the situation in Italy is a concern for currencies, the 5-Star Movement sees Britain struggle with its European Union exit plan and is unlikely to pursue a similar agenda".

The League and Five Star have numerous areas where they differ on policy, something which has made progress in coalition talks slow and arduous. "It would very much put the new government on a Syriza-like trajectory within Europe", Mr Codogno wrote, referring to the leftwing ruling party in Greece.

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