This could end up blowing up in the faces of yield-starved investors all over the world… Read More Presenting Italy’s Latest Plan B, Where Desperation Meets Insanity
According to a survey of reserve managers at 80 central banks, who together are responsible for investments worth almost €6 trillion, the stability of the monetary union is their greatest fear for 2017… Read More Three More Reasons to Worry about the Euro’s Future
In 2013 The Economist depicted Italy’s self-described “populist” Beppe Grillo as a clown on its front cover. Yet his party still leads the polls. And that lead is growing… Read More Eurozone Continues to Ignore Its Biggest Threat
“There is no clear vision of the problem and no strategy,” Italy’s bad banker-in-chief, Alessandro Penati, told a financial conference in Milan. He said he was virtually working alone on rescues that had revealed “horror stories” within some banks.… Read More Italy’s Banking Crisis Is Even Worse Than We Thought
Unless you’re a senior banker working for an insolvent bank, or an investor with sizable holdings of slowly putrefying bank shares or bonds, these taxpayer-funded bad banks are by nature a bad idea… Read More Italy’s “Bad Banks,” Created to Save the Financial System, Are Themselves on Verge of Collapse
A bank that is officially too big to fail, with over €1 trillion of “assets” on its books, just admitted that things are even worse than initially feared… Read More Is Italy’s Banking Problem Becoming Too Big to Solve?
“The standard of living in Italy is at the same level as in 2000. If that does not change, the Italians will at some stage say: ‘We don’t want this eurozone anymore.’”… Read More German Ifo Think Tank Chief Says Italy Risks Quitting Eurozone
Mark Blyth, one of select few economists to correctly predict the triumph of Brexit and Trumpism discusses why the financial elites will not take responsibility for the fallout of the 2008 Global Financial Crisis. … Read More Mark Blyth on Why the Financial Elite Just Can't Get Enough of Austerity (For Others)
All these events conform to a tired, old script. … Read More Who Exactly Benefits from Italy’s Ballooning Bank Bailout?
The only thing that makes bank runs worse is the realization that one is taking place.… Read More Italy Slams ECB For Revealing It Has A "Bank Run" Problem
the biggest danger for both Monte Paschi, and Italy’s banking system in general, is that retail depositor confidence in the Siena bank is shaken enough to lead to a bank run either in the world’s oldest bank, or worse, across the entire Italian banking sector… Read More The Italian Bank Run: Monte Paschi Capital Shortfall Surges 75%
A large part of the €360 billion of toxic loans putrefying on the balance sheets of Italy’s banks should never have been created at all and were a result of the widespread culture of corruption, political kickbacks, and other forms of fraud and abuse infecting Italy’s banking sector.… Read More Lest We Forget, Italy's Banking Crisis is Also a Huge Crime Scene