Thursday, September 30, 2010

Trichet and Ireland.

The Slog has some interesting comments, linked here, from which I quote the following, "The ECB [EU central bank] is running scared of overt action on Ireland" theorised a top UK-based currency trader, "If they pile in [to Ireland] with stabilisation fund cash, the market will panic. They're spending the money on the currency to try and calm people down. It makes sense to do that, but you'd walk a long mile to find anyone here who believes this is anything other than Trichet buying his own currency." This must make the ECB a holder of the worst investment portfolio in history: billions in junk bonds, billions of bad debt in euros, and increasing holdings of the shared currency. Watching Bloomberg and CNBC it is pretty clear what is now happening, all these market manipulators are pretty much fighting for survival and will practically well stop at nothing, one this morning was making the case that it has been transparency on the banks which has caused the crisis!



Post a Comment

<< Home