A Misplaced Rally
Markets reacted euphorically after the US job numbers and the installation of a new Italian government. We think they are misplaced on both counts, more especially on the Italian government. […]
Italy’s Coming Stealth Eviction From The Eurozone
The fiscal plans of the incoming Italian government will trigger a bond crash, capital flight, a bank run and a clash with the EU. They are simply not compatible with […]
3 Vicious Cycles Threatening To Blow Up Financial Markets
Despite economic tailwinds and a massive bond buying program by the ECB, Italy hasn’t been able to even dent its debt/GDP ratio. When the ECB ends its bond buying program […]
The Coming Italian Bond Explosion
We think there are many reasons why Italian bond yields are likely to go higher, like eurozone tensions, a rising yield global environment, ECB tapering, political uncertainty, etc. Unfortunately, for […]
Will Italy’s Lost Decades End With A Bang?
Italy’s economy isn’t expected to return to its 2007 output level until the mid 2020s. While Italy would benefit from an Italian Margaret Thatcher, there are few good options left […]