Friday, June 29, 2012
Have you heard the good news? Financial armageddon has been averted. The economic collapse in Europe has been cancelled. Everything is going to be okay. Well, actually none of those statements is true, but news of the "debt deal" in Europe has set off a frenzy of irrational exuberance throughout the financial world anyway. Newspapers all over the globe are declaring that the financial crisis in Europe is over. Stock markets all over the world are soaring. The Dow was up nearly 3 percent today, and this recent surge is helping the S&P 500 to have its best month since 1974. Global financial markets are experiencing an explosion of optimism right now. Yes, European leaders have been able to kick the can down the road for a few months and a total Greek default is not going to happen right now. However, as you will see below, the core elements of this "debt deal" actually make a financial disaster in Europe even more likely in the future.
Ladies and Gentlemen, that was written not today, June 29, 2012, following the latest EU agreements but October 28, 2011 in a blog called "How the Hell Should I know?" Here is the full link blog post.
I quoted this to a friend this morning. It's from Bush 43:
Fool me once, shame on you.
Fool me..........can't get fooled again.