It will be interesting to see how the financial markets react to the G20 non-event and the political shenanigans in Greece. Even if Greece does manage to form a national government and receives its latest tranche of bailout funding, the underlying problems remain. These have been well-rehearsed on this blog.
My opinion, for what it is worth, is that matters are on the cusp of taking a turn for the worse, much worse. I commend the articles I have provided links to below.
The Greek people are being sacrificed on the altar of a misguided political endeavour. How long will they put up with very severe austerity before something snaps and there is civil war? Greece's political history is one of instability, the omens are not good.
Italy is to have its fiscal policy policed by the IMF (in reality a cover for the EU). How long before the excitable Italians react with violence? Not long I feel should Italy come under greater pressure from the financial markets.
The spectre of civil disobedience, riot and civil war is not to be ignored. The EU's trampling over sovereign states and their populations is an assault on democracy. Are some nations to be subjected to the rule of Brussels in the same way East European countries were subjected to Moscow and before that when most of Europe was controlled from Berlin?
http://www.telegraph.co.uk/finance/financialcrisis/8873295/Greek-prime-minister-George-Papendreou-to-step-down-after-deal-agreed-with-opposition-leader.html & http://www.bbc.co.uk/news/world-europe-15614883
http://www.telegraph.co.uk/finance/financialcrisis/8873227/European-leaders-are-lifting-the-lid-on-Pandoras-box.html
http://www.telegraph.co.uk/finance/financialcrisis/8872773/The-portents-are-there-as-the-euro-crisis-reaches-the-Rubicon.html
http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/8873041/Europes-rescue-fiasco-leaves-Italy-defenceless.html
http://www.independent.co.uk/opinion/commentators/john-rentoul/john-rentoul-who-will-say-were-better-off-out-of-europe-6257903.html
Some may say that I am being defeatist, nay alarmist. Time will tell, but the warning signs are flashing.
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