LIGNET: Fall of Dutch Government a Bad Sign for Europe

Netherlands: Fall of Dutch Government a Bad Sign for Europe

The ongoing debate in Europe over austerity measures claimed another victim this week when Dutch Prime Minister Mark Rutte resigned over his government’s failure to come up with a budget plan for next year. Budget talks collapsed when the parties that make up the ruling coalition failed to agree on committing to policies set by Brussels.

The downfall of the Dutch government, coupled with a likely victory by France ’s soft-on-austerity Socialist presidential candidate Francois Hollande, could signal a seismic shift in the political and economic environment in Europe .

As Merkel’s allies fall one by one, the market is unlikely to react well at a time when the struggling governments of the periphery, like Greece and Portugal , are trying to issue new debt.

Click here to read the full analysis from top intelligence experts at LIGNET.com.

Saudi Arabia 's Vast Oil Reserves: Here Now, Gone Tomorrow?

Over the last 40 years, Saudi Arabia has often used its vast oil wealth as a foreign policy tool, supporting U.S. objectives by increasing production when supplies become tight.

This spring, the Saudis have been called on once again to step up production to compensate for a European Union (EU) embargo of Iranian oil imports scheduled to be implemented July 1.

The increased production will help control the worldwide price of oil. But with domestic consumption of oil increasing in the kingdom, the United States may not be able to rely on Saudi Arabia ’s help next time there’s a crisis.

Click here to read the full analysis from top intelligence experts at LIGNET.com.

Islamist-Military Tug of War Dominates New Egypt

The recent booting of Egyptian presidential candidates from the ballot has set the stage for an Islamist candidate to win the election, solidifying Islamist control over both the legislative and executive branches.

Such a scenario will set up a confrontation between the military and Islamists unless they can agree to a deal in which Islamists rule but grant the military some autonomy and influence.

Click here to read the full analysis from top intelligence experts at LIGNET.com.