IF FRENCH STRIKES SPREAD TO REST OF EU, ALL BETS ARE OFF

Germans may strike, some Greek unions are making noise, and Belgium may join too. This "suicide pact" may eventually work, since no elections are scheduled before economies are wrecked. The French are fixated on a gory trial and sex scandal but this may change if nobody can get back from their vacations on Tuesday. Right now the U.S. is not affected, but if the strikers continue and stoppages spread investors will pour out of EU markets and into the "safe haven" U.S. Watch the dollar, already rallying big time in currency markets.
European strikes of government workers are devastating because so many work for the government. France has no industry worthy of the name; Germany has autos, raw materials like coal, but a stagnant economy particularly in the old Eastern part. Italian Communist unions used to join these strikes as a matter of course but so far have stayed out, but the Communists are behind this strike and it could happen.

Americans work so much harder than Europeans and put in so much more time on job that we don't understand a society where work is looked upon with disdain by most people. Europeans don't like work, don't want to work, and while productivity rises obscure the problem, they now want a work week of less than 35 hours and even more vacation time. The New York Times (????) blames God for the problem, quite seriously and has an interesting article on the long predicted phenomenon of work hating linked to the decline of Protestant work ethic. HERE

Keep one eye on this strike next week. Your main clue will be the dollar in the currency markets. Carried too far we could have another stock market bubble fueled by foreign money.