Wednesday, October 26, 2011

EU Banks to re-capitalise to 9% by June 2012 - Maybe!

The meeting of meetings ( supposed to occur tonight) will instead deliver worse even than a mere damp squib.

On top of this quite amazing and nowhere guaranteed bank recapitalisation (see my posting's headline above,) will come a leveraging up of the EFSF to 1 trillion, with the funds supposedly coming from somewhere (such as the IMF - watch out the UK and USA) and at a date yet to be determined.

Yet still no news of the haircuts on Greek Bonds, except that Merkel and Sarkozy will now take over these negotiations with the banks personally!

This deal is even more absurd and laughable than that rushed through before all the EU Leaders departed for their summer holidays on 21st July of this year.

Here is a memory or two from the early days of the crisis, if only we could have clarity such as this and this, although, of course, it was crass statements such as those that got us here!



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