HUNGARY - Hungary's most important goal in foreign policy next year is to strengthen its alliance with Germany, a minister told the weekly Figyelo on Thursday ahead of an expected visit by Chancellor Angela Merkel. Janos Lazar, the minister in charge of Prime Minister Viktor Orban's office, said the conflict between Ukraine and Russia could easily escalate further into a war which could pose a threat to ethnic Hungarians living in Ukraine.
EUROPE - David Cameron is meeting other EU leaders and industry bodies at CBI-hosted talks in Brussels hoping to inject fresh impetus into talks on a transatlantic trade deal. Supporters say it will boost economies - critics call it anti-democratic.
UK - Controversial laws to allow three parents babies will be voted on by Parliament and could come into force next year. The government has laid down draft legislation which will change the Human Fertilisation and Embryology Act 2008 to allow mitochondrial DNA transfer.
USA - The US and Cuba have announced a broad agreement between the countries that will be a first and historic step toward normalizing relations after more than 50 years of hostility.
USA - US scientists say tracking data showing five golden-winged warblers left their nesting site a day before a tornado outbreak, suggests the birds "heard it coming". Geolocators showed the birds, which had just finished a 5,000km migration, left the Appalachians and flew 700km (400 miles) south to the Gulf of Mexico. The next day the deadly April 2014 tornadoes swept across the central US.
VATICAN - Not many people get to celebrate their birthday with a diplomatic romp… but as he turns 78 this Wednesday, the Pope can now claim precisely that. Announced this morning by President Obama in a televised White House address, the US' "reset" paving the way toward full bilateral relations with Cuba and enhanced economic ties, has largely been credited to the influence of Francis and concerted back-channel work on the part of the Holy See's geopolitical apparatus.
RUSSIA - The 8th largest economy on the entire planet is in a state of turmoil right now. The shocking collapse of the price of oil has hit a lot of countries really hard, but very few nations are as dependent on energy production as Russia is. Sales of oil and natural gas account for approximately two-thirds of all Russian exports and approximately 50 percent of all government revenue. So it should be no surprise that the fact that the price of oil has declined by almost 50 percent since June is absolutely catastrophic for the Russian economy.
RUSSIA - The Russian Central Bank has seemingly lost control of the ruble, which lost more than 20% in just hours on Tuesday. Currency interventions and interest rates both have failed to save the ruble. The next major step could be limiting the cash flow. After the Russian ruble fell to 1998 lows on Monday, the Central Bank met late into the evening and hiked the main lending rate to 17 percent to offset the tailspin ruble. It worked - for about four hours, then the ruble again nosedived against the dollar, euro, and sterling.
RUSSIA - The Russian economy may come to “a sudden stop” and a bank run “could be on the cards,” according to an analyst at Moscow brokerage UralSib Capital. “A full-blown currency and financial-crisis scenario seems to be unfolding in Russia in what was supposed to a quiet week as we head into the holiday season,” Slava Smolyaninov, deputy head of research, wrote in an emailed report today. “There is a risk that the economy will come to a sudden stop, along with the banks and the overall financial system. Hence, we may have underestimated the level of financial risk in the event of a full-fledged panic. A bank run could be on the cards.”
USA - President Obama will sign legislation imposing new economic sanctions on Russia, the White House said Tuesday, as the US claimed some credit for sparking Moscow's roiling currency crisis and moved to deepen the pain.
EUROPE - The Single Resolution Mechanism (SRM) will be launched over the next three months, with the aim of rescuing or winding up stricken banks with minimal recourse to taxpayers’ money. The SRM will consist of a board and a fund, and will cover banks overseen by the Single Supervisory Mechanism (SSM) which became operational last month, and represents a concluding part of the new Banking Union. The board will have broad powers to prepare for the resolution of stricken banks. Upon notification from the ECB that a bank is failing or likely to fail, the board will adopt a resolution scheme including relevant resolution tools and determine how much of the Single Resolution Fund should be used. The board will monitor national resolution authorities’ decisions, but has the power to intervene if national resolution authorities do not comply with its decisions.
GREECE - A Syriza election victory threatens default and disorderly exit from the euro for Greece. This would be a disaster for all. But done properly, the reintroduction of sovereign currencies within the eurozone would provide a bright new beginning. In the event of a Greek default, its new currency would plummet, inflation would climb, and pretty soon Greeks would be experiencing something close to the full scale economic wipe-out. There is no chance whatsoever of Greece, or for that matter several other periphery Eurozone economies, repaying their debts. For Greece, this would be the same with or without Mr Tsipras’s unhinged political agenda. Only the creditor nations of the north refuse to acknowledge this reality. The current set-up is completely unsustainable.
USA - Dimly lit, the stone slab, or stele, doesn’t look particularly noteworthy, especially when compared to the more lavish sphinxes, jewelry and cauldrons one encounters en route to the room where it is installed. What’s significant about this stone — on view at the New York Metropolitan Museum of Art as part of its “Assyria to Iberia at the Dawn of the Classical Age” exhibit running through January 4 — is its inscription: the earliest extra-biblical reference to the House of David.
ISRAEL - Ancient Hanukkah was a military victory by the Jewish Maccabees over the foreign domination of Israel by the Hellenistic Syrian Seleucids. In some ways, it looks like - modern Zionism. It's about Jewish ideals and survival. It's about the willingness to fight in order to survive as a nation in the Land of Israel.
USA - Though it was reluctant to do so, a Pennsylvania court has issued an order that requires a Philadelphia man to pay hundreds of thousands of dollars worth of taxes that he doesn't even owe. As reported by PennLive.com, Commonwealth Court imposed the order for $280,772 in taxes on Nathan Lerner, even though city officials had acknowledged on the record that the tax bill he received was a "jeopardy assessment" that was based on pure fabrication.