Photo: Wikimedia Commons
Let’s do a quick update on the scene in the Eurozone.First of all, tomorrow is stress test day. You can find a preview here. Results will be out around 12:00 PM ET.
Meanwhile, Italy held a bond auction. The auction didn’t fail, and it raised 4.87 billion EUR, but yields are back on the rise across the curve.
In the meantime, equity markets are falling across the board in Europe. Italy is off 0.7%.
Also, Italy is right now debating a new austerity vote that is expected pass easily.
There were some interesting comments from FinMin Giulio Tremonti talking about how the problem in Italy was actually a huge Euro-wide problem (read: LET’S DO EUROBONDS ALREADY!).
And in Ireland, its Finance Minister said the country should be set cash-wide through 2013, but hinted at the need for more cuts. He also hinted at some Eurobond comments.
Pretty much every PIIGS country is thinking right now: Let’s start making this a big Euro-wide problem, so that the issue doesn’t fall on our shoulders alone. This latest move got started earlier this week when Greek PM Papandreou sent a big open letter to JC Juncker saying exactly this: Our problem is really your problem.