Submitted by RobertBrusca on 04/19/2012 - 17:26
It is curious how people hang on the day to day detail of European debt auctions when logical analysis of the situation tells you quite clearly that the plight of Europe is hopeless.
Rooting for Europe is worse than being a Chicago Cubs fan. The Cubs might win the pennant.
We know that LTRO is creating a great moral hazard by tempting each peripheral euro-nation's banks to buy its own country's bills, bonds and notes. And when they do that the world seems good. But after they have done that the world seems more at risk. And when they do some more things seem fine again, and so on and so on....