Thursday, 1 December 2011

Going Going...?

Back to the Euro crisis, events appear to be moving to a conclusion. It's getting hard to work out what exactly the state of play is and what is going on; we're now reduced to guesswork essentially, as Xen rightly concluded in a previous comment on here, and the scary thing is it appears that those in charge don't seem to know either.

What is clear though is that the news chatter is intensifying greatly which indicates panic is setting in significantly. I suggested before that sandbagging maybe happening with gusto but one wonders if they know what they are supposed to be sandbagging against, especially with these rather unusually stark comments from Sir Mervyn King:
Banks should brace themselves to withstand the "extraordinarily serious and threatening" economic situation, the Bank of England governor has said.
Which prompted this analysis:

If anyone was in any doubt about the severity of the eurozone crisis and what it might mean for the UK, they shouldn't be any more.

The governor of the Bank of England delivered his starkest warning yet. It's quite something for a central banker to describe the financial climate as "extraordinarily serious and threatening".

Sir Mervyn King made no attempt to play down speculation about the possible break-up of the eurozone. He thinks banks can weather storms ahead if they set aside more capital. But he acknowledged that the problems were widespread and beyond the control of any UK authority.

To sum up the financial regulators' message - fasten your seatbelts for what could be a very bumpy ride.

It's getting obvious that no-one has the first idea what they're doing and are in denial about the urgent and fundamental problems of the Eurozone....that then leaves only one conclusion and one inevitable outcome. Gulp!


  1. I would surmise that in normal circumstances, a remark like that from Sir Merv would be frowned upon. Such statements can certainly influence markets in an adverse way.

    It shows that the situation is much more serious than we are being told.

  2. @Sue Exactly, right on the money (as it were)

  3. Hopefully, the full collapse (Euro and EU) will not be a long time coming. Then we can all get on with our lives!

  4. Hi BF, thanks for the mention.

    After allowing time for my little grey cells to realign themselves, I've once more girded my loins (metaphorically speaking) and traversed the interweb in pursuit of a definitive answer...

    There isn't one. Something is seriously, and I mean seriously, amiss.

    This 'crisis' should not be beyond the major players to solve. The fact that they appear to lurch from one position to another in an apparently futile attempt to resolve it, smacks of planning or, at the very least, fortuitous circumstance.

    There is something very wrong with Merv the Swerve's announcement, pre-empting both the Sark (today)and the Frau (tomorrow).

    For the time being I refuse to don the tin-foil hat... but you never know what tomorrow might bring.

    @Sue, be careful what you wish for... I'm as anti EU as anyone (you'll remember the vids of Xen347, yes?) but I am one small step away from believing we've been suckered.

  5. Update:

    You can read the Sarks proposals, here:

    Vertically Shallonged French Dwarf

    I'm going to wait for the Frau's announcement tomorrow before trying to make sense of this.

    BTW, the Sark is a dead man walking. In 5 months time he's history. Maybe he's attempting to leave a legacy... of being hated by the English, Germans and the French. Even De Gaulle only managed 2 out of 3... and that ain't bad.