Italian two-year bonds hit a record 7.82%!
Euro-debt problems getting out of control. Greece looking for 75% haircuts. Germany not backing eurobonds. Spain 10-years were at 6.57% this week. Disaster of German bund auctions (only 60% demand). National pride issues starting to crop up as friction between European countries. Belgium downgraded by S&P from AA+ to AA. Dexia deal is in trouble and more banks could fail. The eurozone is falling apart!
Bank recapitalizations sure to cause heavy selling into the first half of 2013. I expect a further downward in the markets. Along the way down, we make spike up to a lowered 50-day moving average. Then. we have the big failure there to a crash of undeterminable proportions. Clearly, the trend is down, though.
No comments:
Post a Comment