The Eurozone is stabilising

[McDave]

After recent suggestions that contagion was about to spread to Spain, the FT reports that Spain's most recent bond auction has been successful. The Euro is currently trading around $1.23.

I have no doubt there are going to be fluctuations in fortunes over the coming months. However, even if PIGS continue to weigh heavily on the Eurozone, I think measures to stabilise the single currency are slowly bearing fruit. In which case attention will turn to other currencies residing in overexposed economies (esp. dollar and sterling). I also think it's becoming clear that there is a sizeable and stable economy behind the Eurozone, and that political will to guarantee the Euro and its component members has not wavered. I think it is also becoming clear that Germany's tough line on Greece is also paying dividends, as it has helped create an environment for real-world compliance. Speculators will, of course, continue their attempts to create an air of instability. However, as PIGS continue to play ball the prospects for speculative gains will diminish, and I expect the Eurozone crisis to drop slowly off the agenda.

For those who can access FT.com: FT.com / FT's rolling global market overview - Spanish bond auction success boosts euro

[DCon]

stabilising like this?



A group of Italian economists would beg to differ with your reasoning

The Telegraph's Ambrose Evans-Pritchard points to a letter signed by 100 Italian economists (technically Keynesianites, but in the great Ponzi, the two have become synonymous) in which they note that "the austerity strategy imposed by Brussels/Frankfurt risks tipping Europe into a self-feeding downward spiral. Far from holding the eurozone together, it will cause weaker countries to be catapulted out of EMU.

100 Italian Economists Wake Up, Say Austerity Will Destroy Europe | zero hedge

[McDave]

100 Italian Economists Wake Up, Say Austerity Will Destroy Europe

Ambrose Evans-Pritchard droning on in the Torygraph again? Maybe the 100 Italian economists should stop hiding under their blankets and quit pretending the various bubbles that have afflicted the Anglo-Saxon and PIGS countries never happened.

As for your funnee graph, I'd say Telegraph sales have a far greater chance of flatlining than the Eurozone.

[Libero]

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[locke]

I hate threads like this.

I'd been thinking the same thing myself, but as soon as someone posts a thread up, it's normally a sign of an increase in volatility

[McDave]

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I agree. It's long past time Eurosceptic and anti-Eurozone drones were called to account for their relentless cheerleading on behalf of speculators.

[NotoriousFin]

I think you need to watch the following:
[ame=http://www.youtube.com/watch?v=qBiZi2WQhZg]YouTube - World Collapse Explained[/ame]

[McDave]

I think you need to watch the following

Seen it before. Is that really the best you can do?

Really, P.ie is overpopulated by cynics, conspiracy theorists and cassandras who can't get though the day without their dose of impending doom and catastrophe.

Not to mention the Eurosceptic agenda monkeys!

[doomandgloom]

One of the best explanations/fables around world bank collapse I have seen:

Fiscally Responsible Fairytales: The Emperor’s New Tree

[Libero]

I agree. It's long past time Eurosceptic and anti-Eurozone drones were called to account for their relentless cheerleading on behalf of speculators.

You would have avoided the charge of cheerleading, at least from me, if you'd just mentioned in passing that it's not all rosy in the eurogarden.