From NASDAQ.com. “Think Tank Exclusive Analysis just released a grim set of predictions in which they believe there is a 65% chance of a banking crisis between November 23-26 that involves a Greek default and Euro exit, as well as a run on the Italian banking system. Under their most likely outcome (via CNBC), the governments of Greece and Portugal will both soon collapse because of inability to handle the debt crisis. Germany will become opposed to handing out more funds to the EFSF and parliament will actually reduce the money available to the fund.”
“As a result, China and the other BRICs will signal that they won’t support the bailout fund. The US and the UK will refuse to provide funding via the IMF. The EFSF will then turn to the ECB to print the necessary bailout money, which they’ll refuse to do. This failure will cause European banks to refuse the 50% haircut on Greek debt. The IMF and ECB will suspend payments to Greece.”
“Depositors in Spain and Italy will create bank runs in fear of banking crises in their own countries, causing ‘a collapse of the interbank credit market as banks know that most of their counterparts are at risk.’ At which point Greece defaults.”
I wonder what we'll be talking about at the Thanksgiving meal?
Wonder what will happen with our banks?
The stock market?
Etc?