WHAT DO I THINK HERE? “EUROPEAN SUBPRIME”? THIS CRISIS IS AT THE MOMENT MORE ABOUT SPAIN THAN …
Written on May 7, 2010 by ozan
WHAT DO I THINK HERE? “EUROPEAN SUBPRIME”? THIS CRISIS IS AT THE
MOMENT MORE ABOUT SPAIN, ITALY, EUROPEAN SPREADS & TRICHET’S (L
ACK OF) REACTION THAN IT IS ABOUT FAT FINGERS & US STOCKS..** Fu
ndamentally, you may not agree w/ QE or flush of liquidity to co
me from the ECB.. But if you avoid those steps and talk about “i
nflation”!! , it is not surprising that Spain and Italy get atta
cked more and more by the market.. Eventually, in my personal oi
nion, Europe will have to do liquidity measures and QE anddd Eur
opean Monetary Fund.. ** Today’s German vote on Greece at 10:10
London time and NFP are crucial.. **Overall, between 6:30 to 7:3
0, there were profit takers & risk on trades..But that mood may
sour when US opens..**EM recoupling has started..but EM CDS spre
ads are still much much tighter than “developed” West EU spreads
