'ItaLeave' Looms Again As Political Uncertainty Sends BTPs Plunging

Tyler Durden's picture

Italian government bond risk is at its highest since before the Referendum as the constitutional court modifications push Europe's troubled country closer to early elections (and the potential for 'Italeave').

While it is no longer clear precisely on what side of the anti-establishment divide 5-Star leader Beppe Grillo can be found after his recently rebuffed attempt to merge with a pro-Europe federalist in the European Parliament, should the 5-Star movement win in the upcoming elections, Europe will be one stop closer to the populist tipping point, especially since that will likely mean new all time highs in global markets.

And it appears the bond market is starting to realize...

 

And while peripheral European bonds have been a bloodbath recently, Italy is the notable outlier...

At its highest risk over Spain since the European crisis.

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chosen's picture

The EU is dead.  Trump is wise to have little to do with the EU.  He should negotiate with individual countries, if he wants to negotiate.

flaminratzazz's picture

beware of what rises from the ashes.

RozKo's picture

The new one that rises with have only one slash in its E logo and it will be Imperial Roman in nature, decadent, wicked, evil and run by Satanists. 

Herd Redirection Committee's picture

Surely it should be Exitalia?  Not Brexitaly, or Italeave?

chosen's picture

Exitalia?  Sounds like a weird sex act.  In the same vein, how about WopItOut?

ATM's picture

What will rise is exactly what the socialists have wanted fromt he beginning - a Federalized Europe with centralized power.

That has always been the plan. Create this crisis then solve it by getting people to surrender their rights and powers to Brussels.

Herd Redirection Committee's picture

Their plans only work when they are able to tiptoe forward, for decades at a time.  Whenever they try a major shift, people who were on to them, but not actively resisting, push back.

They are in an echo chamber with yes men.  That means they are always SHOCKED, SHOCKED, when their major operations don't unfold as expected.

chosen's picture

I'd like to see a return to Europe as it was in the 1970s.  A lot of countries, each with its own currency, all sort of getting along, but sometimes not.   I am not into integrating cultures.  I believe each culture should remain as true to its past as possible.  This makes life more interesting.  Nobody wants to live in some multi-cultural amalgamated cesspool, with Starbucks and McDonalds on every fucking corner, and all political and economic decisions coming from a dump like Brussels.

LaboDini's picture

I think Quitaly works best.

Dragon HAwk's picture

You mean you can't borrow all the money you need for 3 generations straight,  with out people figuring out your a dead beat?

shizzledizzle's picture

Something tells me the people will be all for it and through some form of chicanery it will be stopped. <-See Britain

 

ExpertiseAsia's picture

Wait for the election in Germany. It could be a sea change, but will it alter the inevitable decline of the eurozone...? Asia morning piece here.