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The negative publicity has caused the public to lose confidence in the Colombo Stock Exchange. We, the Colombo Brokers Association (CSBA) want to state categorically that we are unequivocally committed to the development of capital markets, while appreciating a balanced approach to market regulation.

In this regard, we very much welcome a consultative approach through which could be a majority consensus obtained before the introduction of new regulations for the market, the association said.

In the recent past, the CSBA has seriously sought some changes in policies for development strategies in the equities market and stay in line with the overall macroeconomic objectives set by the government in the post war in Sri Lanka.

Towards achieving this goal, we went through a series of meetings that began with the Management Board and SSC, the Securities and Exchange Commission (SEC) and finally with the President, Mahinda Rajapaksa, who gave the CSBA's opportunity to place their proposals for consideration. All 28 registered shares of brokerage firms were invited CSE individually to attend the meeting with the President, and attended 22 of them.

We would point out that the granting of credit is a basic need in any industry and all brokerage firms in almost all countries offer margin trading facilities directly or through related companies. Our proposals were presented as an action plan to boost the participation of investors and restore confidence in the Colombo Stock Exchange. The Association would like to reiterate that we fully support the regulations and the measures taken against the wicked, and would shortly adopt a code of ethics to ensure that all members follow the rules and regulations in line with best international practices, the association said .

The CSBA has been in existence since 1995 and our members have played an active role in the Colombo Stock Exchange (CSE) and have always acted in the best interest of market development File Sri Lanka. (SJ)

So, Now we know what the latest euro-crisis summit has to offer. The effort to stabilize the fifth integral euro zone in nineteen months, the last of the gab Brussels festival produced a series of headlines and initiatives. But what really accomplish?

The single currency remains as inconsistent as it was last weekend, so vulnerable to systemic collapse. The region's banks and governments are still heavily indebted.

Eurozone leaders are deluding themselves if they think some diplomatic tape, and a lot of bluster, it can hold together a structure inherently unstable.

Moreover, by using a combination of borrowed and printed money to save liquidity problems for governments, which are insolvent largely because, in turn, are behind the insolvent banks, is to treat the symptoms of the crisis not the cause.

This historical error of politics - the struggle against the results of the problem and not the problem itself - has characterized the West's response to this fiasco of the sub-prime from the beginning, not only in the euro zone, but in the United Kingdom and the USA as well. Situation in Europe is much worse, however, given the constraints imposed by the straitjacket of the single currency.

David Cameron was "veto" and the new situation in the UK as a "pariah of Europe", which won the most attention, at least in the UK press. More importantly, however, in Britain, Europe and the world, is whether these initiatives from Brussels can avoid a "euroquake" - a public nuisance, market-driven breakdown of the monetary union.

If this happens, the economic shock waves would be felt worldwide.

Before the summit, the European Central Bank cut its 2012 forecast of euro area GDP growth of 1.3pc to 0.3pc. The refinancing rate was reduced by 25 basis points to 1 unit. The ECB also unleashed a series of "non-standard" measures to support troubled banks in Europe.

Refinancing operations is extended to three years and extended warranty eligibility further, making it easier for banks to borrow from the central bank in the euro area. Reserve ratios were also reduced, the ECB regulations throw caution to the wind, in a bid to get lending banks in the eurozone.

Then were the measures adopted at the Summit itself. Despite the UK's veto of a EU-wide "fiscal pact", eurozone members will proceed with budget integration, but outside the EU legal framework. A new "Stability of the Union" Member States will adopt a "golden rule" to manage the structural deficit below 0.5pc of GDP. Failure of the countries a 3 pieces of GDP deficit limit will be fined, unless otherwise decided by qualified majority (ie, unless individual governments agreed to let each other out, which of course will).

These measures tired pave the way for "the full fiscal union," he says. However, they are almost identical to the failed "stability and growth pact" that was when it launched the euro, and that both France and Germany soon after failed.

In the end, these rules will always break, because when it comes to something as fundamental as taxes and spending, eurozone governments will always do what their national electorates want, instead of continuing in Brussels. No wonder of it. Western Europe is a collection of sovereign democracies. This is how it should be.

Other announcements include the "rapid deployment" of the € 440bn European Financial Stability Fund to support governments in trouble, such as Greece, Italy and Spain, prevention of "contagion" from spreading throughout the euro zone. However, nobody knows where the € 440bn will come from. Eurocrats recognize this by referring to the EFSF as "leverage." But who will pay money to an entity that has no obvious source of income?

The new European Stability Mechanism apparently has € 500 billion to spend, thus reinforcing the "firewall". However, we must add another acronym to the lexicon of rescue, the ESM will come and "working" July 2012, ahead of schedule. Once again, however, do not know who is spreading the money out. But we do know that Finland and the Netherlands, among others, are outraged France has insisted that the decision to manage all the ESM money over time is no need to be unanimous. The Finnish Parliament has considered this proposal as "unconstitutional."

Another thing we know is that the euro zone has pledged to "pay" the € 200 billion International Monetary Fund through the state banks core members, the IMF can give back to the Member States of the eurozone. This amounts to a circumvention of the law. Eurozone governments can not directly fund bailouts, since its population was indignant and deny national parliaments. But by channeling money through central banks, then "return" through IMF bailout funds can be delivered regardless of such democratic niceties. This is the kind of behavior this deeply immoral Eurocrats as a "break-through".

The euro area faces a looming problem, the acute funding. Member States should pay more than $ 1,100 million debt in 2012, most of it due in the first six months. In addition, European banks, heavily dependent on state largesse, has about $ 665 billion of debt that matures in June next year.

Germany continues to insist that the ECB will not be allowed to unleash all the QE, or buy bonds beyond the $ 210bn that has been in hiding. Many believe that Angela Merkel, will ultimately regret. I still can not believe it, he will not because its parliament and the electorate does not allow it. That's why the big test of the euro zone is yet to come, although this test may have been shelved until early next year, when large refinancing needs maturity.

The Brussels summit was an improper combination of bending the law and posture. The coup de grace for me was the agreement of silence to rule out any requirement for private sector holders of dubious euro zone sovereign debt to incur losses. So much for moral hazard.

The fundamental problem is that European banks are still locked out of traditional funding markets, which will depend on the ECB - which, in turn, is increasingly dependent on money secretly printed and Chinese and others in ultimately chip-in. Faced with the freezing of funds, banks are reducing their balances and strangling growth by refusing to pay, a problem of "special measures" the ECB will do nothing to solve.

The use of ECB facilities for emergency loans on Wednesday rose to € 9.4bn, the highest daily total since early March, signaling deep malaise in the banking sector. Anxiety is related mainly to a lack of confidence. Eurozone banks can not raise money, and not even lend to each other because of crippling fears of counterparty risk, as many continue to hide passive massive so-called "special vehicles". Lawmakers, after all, still lack the courage to force them to fully disclose their losses.

This lack of information is the core of the subprime problem. Nobody wants to hear, but true. Last week "stress tests" suggested European banks have a deficit of € 115bn, € 106bn over in October. However, these exams administered by the government lacks credibility. The first round clarified some major Irish banks, which then went bankrupt. The next round of Belgium Dexia gave a clean bill of health just weeks before it collapsed. And now the European authorities want the markets believe that this last year of high risk financial twist.

Nobody knows who is solvent. The trickle of information from the stress tests cause more problems than solutions. This stand-behind retail depositors, require "full disclosure" and drop the cards, forcing our banks to consolidate bombed. This really is the only solution - in the U.S., the UK and the eurozone. But the failure to capture the eurozone will be much more explosive, given the pressures created by this absurd monetary experiment.

Liam Halligan is chief economist at Prosperity Management Capital.

London - Teachers, hospital staff and border police, on Wednesday, more than 30 years, took part in Britain's first mass strike among workers facing a weakening economy and adds pressure on the coalition.

Up to 2 million public sector workers' unions before they retire, they'll spend more now that their pensions and jobs are protesting against the reforms.

The government needs to reform the long life and public service pension that is unaffordable.

Such as border control to stop the health care workers walked out, refusing to collect taxes, probably close to schools and services as diverse as ports and airports in chaos hit.

Because of their long flight delays and overcrowding because the strike fear in the passport control, London Heathrow, Europe's busiest airport on Monday reported on the cutting planes.

Some of the diplomatic staff of the house fly and volunteers from other departments to help strike border guards have to happen.

Reaction to severe economic forecasts on Wednesday, the Conservative-led coalition government in its austerity and deficit-reduction plan on the path to a dose that was needed.

Finance Minister George Osborne, a true estimate of job losses from 400,000 to 710,000 during the filming had already, in 2013 as a percent are capped, who sustained two-year freeze on public sector workers, said the pay rise.

"Unprecedented unity"

Brendan Barber, general secretary of the Trades Union Congress, an umbrella group coordinating the strike, the workers, "a temporary sacrifice, but the acceptance of a permanent deep cut" that includes your salary and pension contributions will not be reported to the quality of life.

"The government will take such a stand against unfair treatment in unprecedented coming together in unity, it is no wonder that the abandonment of its total workforce," he said.

Conservative leader Margaret Thatcher to power a coalition of 30 unions that helped sweep the 1979 "winter of discontent" when you walk out of the first big step, to take part in the strike.

Picket lines and rallies and demonstrations organized by trade unions across the country and over 1,000 hospitals around public buildings and to the spring.

Controversy in countries with tighter budgets and the elderly population mirrors that in other European countries where Grappling.

Prime Minister David Cameron talks about pensions will run until the end of the year urging the unions to continue talking, "irresponsible" and condemned the strike.

Ministers insist that the unions who do not want to negotiate.

Unison, representing 1.4 million workers who are union leaders Dave Prentis,, unions need a solution, but failed to budge the government said Monday that further strikes could follow next year.

New York oil post-holiday, a low level of trade rose Friday after a see-sawing session, but was down slightly this week.

The crude oil benchmark of $ 96.77 U.S. a barrel to settle at 60 cents per hour increase. Thank you for the markets were closed for a holiday before the United States on Wednesday dropped by $ 1.84. Week, however, the oil lost 0.7 percent.

European credit crisis continues to undermine confidence in the continent to avoid recession next year, oil had fallen earlier.

London, January Brent crude for delivery ICE Futures Exchange to settle at $ 106.40 a barrel, fell by $ 1.38.

Fiscal austerity measures aimed at reducing debt levels in Europe and demand for oil will affect world economic growth last week, investor concern that helped drag crude back above $ 103.

From Greece, Portugal, Italy, Spain and Ireland to undermine confidence in Germany and France, started to spread widely. Germany's 10-year bond yield for the first time in 2009, rose above the 10-year British government bonds. And Standard & Poor's on Friday downgraded the financial nilaiyaipparri Belgium, the country's government and a looming European recession due to a stalemate.

"The crisis in the euro area, even the most robust European economy is beginning to threaten the bond markets - Germany," Barclays Capital said in a statement.

In the United States, meanwhile, the average price of a gallon of gas a week from $ 3.38 $ 3.31 (87 cents a liter), has fallen to. A discount of two months ago, even heftier 20 cents a gallon compared to (3.8 liter) is. In fact, the holiday shopping season, driving from store to store on the first weekend in late winter from American shoppers use some of the gas, pay the lowest price.

Even with the recent decline, however, gas prices 44 cents a gallon higher than a year ago is Black Friday. Tom Kloza, chief oil analyst at Oil Price Information Service, $ 488 billion Americans spend on gas this year, that path is. Eclipses the $ 40 billion record set in 2008. 7.9 percent of households in the United States until 2010 and 2008 OPIS 6.7 percent from 8.4 percent in the year of income spent on petrol as they reported last week.

National average of just $ 4 a gallon gasoline in May ($ 1.05 a liter) came down.

One reason for this is that the bustling shopping malls as shoppers use the cashmere sweaters, video consoles, tablet computers and flat-screen televisions to watch vilaikkuraikka. Re-invest their savings believe that shoppers use the retail pump. Kloza current demand, gas price for every 10 percent decline, Americans are spending another $ 36 million in total savings, he estimates.

Current demand for gas in the United States is Kloza says "surprisingly poor." Oil and gas prices of about $ 17 a barrel in the past two months, or even increased by 21 percent, the main reason why it is abandoned.

In other Nymex trading, heating oil and $ 2.94 per gallon and gasoline futures dropped 3.1 cents per gallon to $ 2.5205, after losing 4.45 cents. To $ 3.665 per 1,000 cubic feet of natural gas, added 5.7 cents.

Germany's original program, it's 17 euro zone countries, very tight budget constraints to impose, in preparation, 2012 Finally a definitive agreement to transfer all 27 EU countries in the agreement to try to preserve the - the region's defenses until the shoring is one way the credit crisis and against.

But in recent weeks in meetings with European Union leaders, it can not get on board that all 27 countries, German Chancellor Angela Merkel and French President Nicolas Sarkozy is clear, concise report of the European Union.

It, too, that Italy, Spain and France is now the recommended changes in market demand for weeks after the attacks of a brave and safe can take a year or more.

As a result, senior French and German civil servants is an agreement among a mere euro zone countries, the purpose of being examined on the other.

"Union has a goal to create a common currency for their own determination and the focus is on member states," German Finance Minister Wolfgang Schaeuble said on Sunday Ard television.

Another option being explored around 8-10 euro zone countries would involve a major contract outside the European Union is a separate agreement, officials said.

When they meet on Tuesday, the euro zone finance ministers met by a more pressing.

In the euro zone's bailout fund, the European Financial Stability Facility (EFSF), are prepared to allow a detailed operating rules, documents obtained by Reuters showed. [ID: nL5E7MR0UA]

Interest from the private and public investors, according to approved rules, EFSF increase resources and its co-investment funds in the coming weeks, attracted 440 billion euros in cash to clear the way.

The ECB must be rigidly Germany EFSF water supply or at the idea of acting as a credit against the Spanish, Italian and French government bonds on the yields of all the away goals, the euro zone, will soon have a way of calming the markets to the euro lifetime highs.

Progress toward stricter financial rules, policymakers, investors believe that convinces. Schaeuble, a crucial decision that a firm can obtain more confidence in EU markets.

"It's a member of the euro zone, indicating that its budget discipline to do its homework. We deal with changes, to be sure," he said.

Radical overhaul

Reuters French and German officials, especially the smaller euro zone and fiscally feasible to establish an integrated and a radical overhaul of the European Union were discussing the plans that were announced on November 9.

"Germans. Made up their minds to change their contract and doing everything they can to push it as quickly as possible," a senior European Union official involved in talks, Reuters reported. "A senior German officials at every European capital on the phone all day there."

, The credit crisis on the gain is the only way - is jointly issued by the euro-zone bonds to pave only force acting European Central Bank more leeway in this - German and French finance union toward moving a hope that some other euro zone countries that goal very quickly move unable or unwilling there.

Besides, Greece, Ireland, Portugal, the European Union / International Monetary Fund's aid received, but Italy and Spain and Slovakia, some Eastern European countries, or the current economic situation is difficult, Germany wants the budget constraints to find, or simply need to aim not comply.

As a result, French, German, after the folding of the contract at the best possible deal for the EU, euro zone countries are exploring a number of very rapid integration of at least two samples.

The two models

A more Schengen III, prospective, open to any member state, and then 5 and 7, who was adopted by EU countries and Norway, countries outside the European Union but the contract is a contract signed in mid 2005 Pruem Convention is based.

Another option along the lines of other euro zone countries have signed the 1963 Elysee Treaty entirely French, German and Mini - to deal, officials say.

"Seriously discussed the options and things that we talk too, are moving very quickly," Reuters reported that the European Commission met on the discussions.

The original aim of a European Union leaders summit in Brussels last year, when it meets on December 9, before you set out to outline a contract stating that.

Euro zone and rapid fiscal consolidation is needed, highlight, in the past two weeks the two speeches made, it is a 'two-speed Europe' emerges as the inevitable must be accepted that one of Sarkozy, another special address to is due on December 1 on, he and Merkel emerging as a more detailed out who can provide feedback on a stage.

A senior German government official, no secret, France, German, denied there were negotiations, but the two countries and stressed that the best way possible to reach agreement on how to analyze and saw it and insisted on the need for change.

"Germany and France will be presented at the December EU summit to focus on a limited contract, the plans continue to change," the official said that the need to act quickly to get changes in place, said.

When they reached a state of emergency ECB buying bonds is intermittent style of fighting in the euro zone. The wave of economic and market return, but the central bank should act more aggressively, and Germany, suggest that such activity is against. In the euro zone governments to cover the structure of financial regulations, there may be concerns that need to change tack.

"The Securities and run off if it's true that even the European and world financial system stability fatally. ECB decided to bold action, of course, requires" Peter Bofinger, a German consulting five "wise men" an economy, government, the Irish state broadcaster RTE reported.

Financial integration among euro zone countries and in tight Reuters lot can be achieved if the ECB more room to maneuver it to buy government bonds and euro-zone officials on Friday reported a similar potential.

Rapid integration of the euro zone and European Union officials, through a contract with a sideline in the lower 17 states about applying too much pressure on the rest of the cast may want to warn that there are very clear about its determination to push France and Germany should be enough.

If they sign a deeper integration could be left behind in some countries, threatening, fearing it would leave it exposed them to market pressures, not to say that a country can be.

"You hear some of the postures in this area - soon to change the deal under pressure from Germany," said an official involved in negotiations.

"To some extent that has been put on the table to see these ideas are part of bargaining chips."

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