Indian summer is ending, European winter is coming

The death of former German Chancellor Helmut Schmidt who, with former French counterpart Valery Giscard d’Estaing, embodied the building of what later became the European Union (EU) could be the involuntary premise of renewed instability.

“The answer to every problem is not always more Europe. Sometimes it is less Europe,” said British Prime Minister David Cameron while listing his reformist demands and announcing his ambition of holding a referendum on keeping or exiting Britain of the EU by June 2016. The “Brexitworries the City and Brussels for which such development would terminate the integration process as a growing portion of the peoples of Europe either question or reject it.

The election of a conservative government in Poland highlighted the severe shortcomings of the outdated Schengen area and the deep disagreement between Brussels and Europeans on the reception of migrants. The political overthrow of the center-right government in Portugal, the ongoing but quiet disagreement between Greece and the Troika, and the regional attempts for independence in Spain constitute an immediate potential for heightened volatility in the euro area.