BBC News: Reports that the cost of 10 year Italian Bonds has gone over the 7% mark again, even with the formation of a new Italian Government. Lets face it folks, the Markets on the whole are not fools, they know that when the tough austerity package starts to hit Italians this new Government of technocrats has no base, no backup, thus it will fall, also should the 60 billion package of tax hikes and cuts work the political parties will not allow the new Government to take credit, they will call snap elections, they have the votes. Thus if your betting a long term Italian Government you are miss reading the public mood folks, this new Government will be short and brutal, better bet would be on the lottery folks.
Tuesday, November 15, 2011
Italian Bonds = 7%
BBC News: Reports that the cost of 10 year Italian Bonds has gone over the 7% mark again, even with the formation of a new Italian Government. Lets face it folks, the Markets on the whole are not fools, they know that when the tough austerity package starts to hit Italians this new Government of technocrats has no base, no backup, thus it will fall, also should the 60 billion package of tax hikes and cuts work the political parties will not allow the new Government to take credit, they will call snap elections, they have the votes. Thus if your betting a long term Italian Government you are miss reading the public mood folks, this new Government will be short and brutal, better bet would be on the lottery folks.
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