The Euro and the Banks

Guardian: Reports that the money markets are on edge due to the stress test of banks, the article states the following, “.. fears that today's annual health check ..will find fatal weaknesses in at least half a dozen institutions, ”. Folks if you have money start to buy gold or other assets, banks are broke, if PIG countries go and the US goes in to default then we are all in the toilet, a lot of banks will go under if the above happens, the Sovereign debt crisis can only end when the PIG countries default, the US deals with its debt mountain, thus far failure by politicians in Europe and the US. Advice folks, buy gold, and lot of it, or diamonds, they never lose value, its going to be harsh folks.

The Bond Market and Italy

Telegraph: Reports that Italy had to pay the bond markets its highest price in three years to borrow money to serve its debt. Lets see if there are riots on the streets of Rome folks, the Government is deep in personal and political scandal, will the Romans take to the streets as have the Greek people, interesting times ahead folks.

Italy OUT of the WOODS = Bailout ?

BBC News: Reports that the Upper House Italian Parliament has passed the Governments forty eight billion pounds austerity package, the lower House is expected to give the package the green light. Folks lets recall Greece, Ireland, they passed austerity packages, Greece still needs a second bailout, and Ireland has seen its debt rating cut to junk. Thus this move might not work folks. If Bank start to sell Italian debt, its toxic folks, one has doubts that Italy, Ireland, Greece will ever have the ability to pay back its debts. The iceberg of debt has done its damage folks, its just taking time for these countries to sink.