Posted on 07/11/2011 10:18:09 PM PDT by bruinbirdman
"Europe fears for Italy," leads the Financial Times Deutschland as the bloc’s 27 member states hold an emergency meeting in Brussels on Monday July 11. Since the end of last week Italy has been targeted by the markets, and the costs of borrowing in the sovereign debt market are hitting record levels. According to a senior diplomat quoted in the Hamburg daily, EU finance commissioner Olli Rehn is "extremely concerned about the development of the situation in Italy" and is calling for "a comprehensive solution at last to save us from having to deal with one country after another." According to the Berlin daily Die Welt, the European Central Bank is suggesting expanding the European rescue mechanism to 1,500 billion euros. The FTD notes in its editorial that, yet again, quick action is needed. "So far, the rescue strategy has been address the concerns of small European states to avoid another shock. But a collapse of Italy would expose this as mere window dressing."
ECB wants to triple down!
When will the world economy simply collapse from exhaustion?
1.5 trillion euros? ...desperation or something else that I’m unaware of? I’m a little surprised at the amount considered in that case.
If it’s Monday, it must be Italy collapsing.
Far more likely to have a popular revolt in Germany over increasing their payments to support failed Socialistic states than this ever coming to fruition.
Merkel is not going to agree to any of this
Hmmm. I’ll be very surprised, if a major US Fed money printing effort doesn’t start very soon with a higher debt ceiling for clearance. ...currency hostilities escalating again soon, perhaps (exports, revenues, survival)?
What did I just see, a 0.25% increase in bond rates will cost the U.S.A. about $160 billion/yr more to service the debt.
It's easy to see why the Helicopter Man needs to keep rates low.
yitbos
Bailing out these countries is like throwing money into a black hole. They will ask for more to fund their lopsided socialist welfare programs, like a kid who can’t stop eating sweets.
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