1. Out of Focus this AM.....there is a fairly long piece which talks to the issue of public utility organizations in Germany which are in desperate financial times. These are the ones which handle not only power, but natural gas and water. Roughly a thousand of them in existence, and all of them are having a shortage of capital. Added to this problem....customer are talking about the loss of their home because they can't meet the combined monthly down-payment (in some cases now, exceeding 1,000 Euro for water, natural gas and electricity).
There's going to be a massive consumer shut-down shortly, where Christmas sales will lag by a major amount, and crash the economy even further.
2. Finance Minister talking about a salary cap? Well....what he said was no CEO should make more than the Chancellor. Current salary level? Around 220,000 Euro.
Odds of this getting made into a law? People would have laughed in 2021, but now....I'd put it at 50-50 odds. All this idea would do is trigger an exit of companies from Germany, where the 'big' headquarters would be located in a more friendly state.
3. There's talk by the Federal Building Minister (SPD) to regulate 'reasons' for termination between a tenant and landlord. The hype? There's some speculation that tenants will get behind in monthly payments (because of the natural gas/electrical crisis), and the landlords will hand a termination notice to the renter.
Yeah, it does sound like what the US did to landlords during Covid.
If you wanted to create an even bigger crisis? You'd go and allow some lesser monthly rental situation to occur, with landlords in Germany left holding the 'crap' at the end, and no way to meet mortgage obligations themselves.
4. An odd announcement this AM from France....Macron's party (La République en Marche (LREM)), has decided to rename itself.
New party name? "Renaissance". Yeah, an odd name, I will admit.
A problem brewing? Most people will say that LREM has peaked out on enthusiasm in the past twelve months, and there's some necessity to rebuild from the ground up.
5. Peak inflation predicted for 2022? Out of N-TV this AM....chatter says that 11-percent will be the peak by the end of the year.
6. There is chatter going on about a potential Russian oil delivery 'halt' to Germany. People using heating oil, up until this point, felt somewhat safe about their situation.
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