Save over 65%$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
PARIS (Reuters) -Prime Minister Michel Barnier on Sunday opened the door to raising taxes on France’s wealthiest individuals and some big corporations to help close a gaping hole in the public finances, but said he would protect the lower and middle classes. President Emmanuel Macron’s office this weekend unveiled a right-leaning which he hopes will break the political deadlock that followed a summer snap election. Its most immediate and daunting task will be to put together a budget for 2025 at a time France is struggling to contain a spiralling budget deficit.”I’m not going to further increase taxes on all French people, neither on the most modest, nor on people who work, nor on the middle classes. But I cannot exclude the wealthiest from the national effort to rectify the situation,” Barnier told France 2 television.France’s total debt stands at 110% of GDP, or close to 3.2 million euros. Weaker-than-expected tax revenues and higher spending by local governments has left its public sector budget deficit spiralling towards 6.2% of economic output next year if nothing is done to rein it in.It is in breach of European Union deficit rules and credit rating agencies are scrutinising French decision-making carefully.”A large part of our debt has been placed on international and foreign markets. We have to maintain France’s credibility,” Barnier said. Barnier, who was the EU’s lead negotiator during Britain’s Brexit negotiations, also said he was also open to changes to Macron’s pension reform but that any changes should not undermine the pension system’s precarious finances. He said by way of example that he wanted to better take into account the hardships faced by working mothers over the course of long careers and that he was open to the input of employers and unions. Macron’s political opponents on the left and far right have already threatened votes of no confidence against Barnier’s government. They say the government is not a reflection of how the French voted in the July poll.”This is more Macron. It’s a government that has no future,” Jordan Bardella, chairman of Marine Le Pen’s National Rally party, earlier said.Barnier’s government lacks a majority and will need to keep the far-right on side and deter it from voting to bring the government down if it is to survive. Perhaps with that in mind, Barnier said he would get tough on immigration.”We need a European response. We need to take action at home too,” Barnier said. “We need to deal with the immigration issue much more rigorously.” More
Save over 65%$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
Peter Schiff, a well-known critic of Bitcoin, quickly weighed in saying posts like this are yet another reason to sell Bitcoin. As always, a lively discussion after Schiff’s remark occurred. In response, the original poster shared an earlier tweet from Schiff from 2018 in which Schiff cautioned against purchasing Bitcoin at $3,800 stating that it might drop even lower.Needless to say, Schiff’s warning did not hold up well over time. In this instance, the user made an implication that Schiff’s persistent opposition to Bitcoin might not always be supported by sound market research. Rather the impression was one of engagement farming or attention-seeking.Schiff’s repeated criticism of Bitcoin is not surprising. He has made a name for himself over the years as one of the most outspoken critics of Bitcoin constantly arguing that gold is a better store of value. But some people do not think his criticism is solely grounded in reason or market knowledge. Rather it appears that Schiff is leveraging the popularity of Bitcoin to increase his social media presence.What’s interesting is that Schiff has acknowledged in the past that if he had known how Bitcoin’s price would change he might have purchased it. That begs the question: Is Schiff’s opposition to Bitcoin based on a sincere dislike or is it just a means of maintaining relevance in the ongoing Bitcoin versus gold debate?Even though his criticism of Bitcoin keeps getting attention, people who disregarded his advice in 2018 have made significant returns. Whether Schiff is correct or not, his remarks always spark debate, and it is difficult to ignore the potential of Bitcoin.This article was originally published on U.Today More
This pattern often signals a big market reversal, suggesting that the first cryptocurrency could soon surge against the precious metal.At the heart of Brandt’s analysis is a detailed look at the key elements within this inverted head and shoulders pattern: The neckline is at 32.5, the left shoulder low is at 14.2, and the right shoulder forming a bull flag. It looks like the ratio might decline into the “high teens” before any breakout occurs.If Brandt’s prediction is correct and the ratio does indeed rise from the current 23.85 to 123.75, as projected in the attached chart, it will represent a 518% increase in the price of Bitcoin per gold from current levels.If this happens, it will not only be a big jump in the value of the major cryptocurrency compared to gold, but it will also show that more and more people think that Bitcoin is becoming a better place to store your money.This article was originally published on U.Today More
PARIS (Reuters) – French Prime Minister Michel Barnier has handed a little known duo the task of plugging a huge hole in the budget, putting loyalty before political clout in the job description for his finance and budget ministers.Ending weeks of suspense, Barnier unveiled his ministerial line-up late on Saturday, tapping 33-year-old junior lawmaker Antoine Armand for the prestigious economy and finance ministry.Barnier also named Laurent Saint Martin, 39, head of the government office that promotes foreign investment in France, as budget minister, putting him directly under his purview rather than the finance ministry in a break with tradition.Unknown outside of Parisian political circles, the two face huge pressure to figure out how to rein in France’s budget deficit as it spirals towards 6% of GDP due to a tax shortfall and higher than planned spending.Although they lack political weight, economists say they run little risk of putting President Emmanuel Macron’s legacy of tax cuts and pro-business reforms at risk – if they can get the 2025 budget passed.”It’s a way of keeping policy continuity, they’re faithful and will follow Emmanuel Macron’s political line,” economist Mathieu Plane with the OFCE economics think tank said. Armand, 33, is a relative political novice, serving as a lawmaker in Macron’s party since 2022 while Saint Martin only served one term, failing to win a second term in 2022. It is still unclear which one will take the lead steering the 2025 budget bill through France’s deeply divided parliament, where they can expect a rough ride from opposition parties which could team up and vote through a vote of no confidence, potentially bringing down Barnier’s government.Usually France’s finance and economy minister drafts and steers budget legislation through parliament with the budget minister in a junior role to iron out wrinkles.In any case it will fall on Armand to defend the government’s budget choices in Brussels, where France’s European Union partners are unlikely to have much sympathy for Paris once again requesting more time to cut its budget deficit.He will also have to represent France at international forums like the G7 and G20, where he will share the stage with far more experienced policymakers like U.S. Treasury Secretary Janet Yellen.HIGH STAKES BUDGETArmand and Saint Martin will have to work around the clock to finalise the 2025 budget bill, which usually takes months of preparation and is due to be handed over to lawmakers by Oct. 1, although some limited leeway is possible.While finance ministry officials have already done much of the grunt work, they will have to figure out how to balance tax hikes and spending cuts in a way that does not prompt a political backlash.Though set against rolling back broader tax cuts under Macron, the outgoing government has left behind proposals for an increase in taxes on energy companies and a tax on big corporate share buybacks.Broader tax hikes are likely to fall foul of the extreme right National Rally and Barnier’s own conservative Republicains party.That means the brunt of the effort to narrow the budget shortfall will have to come from unpopular spending cuts, which will likely have to be about 20 billion to 30 billion euros ($22-$34 billion) depending on how fast the government decides to cut the deficit, according to calculations by the treasury. As Armand and Saint Martin weigh tax hikes and spending cuts, Barnier and Macron will be looking closely over their shoulders, OFCE’s Plane said.”It’s a guarantee that what has been done so far is not unpicked,” he added.($1 = 0.8959 euros) More
Save over 65%$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
Save over 65%$99 for your first yearFT newspaper delivered Monday-Saturday, plus FT Digital Edition delivered to your device Monday-Saturday.What’s included Weekday Print EditionFT WeekendFT Digital EditionGlobal news & analysisExpert opinionSpecial featuresExclusive FT analysis More
