Yearning for liquidity!
The European Central Bank springs into action, suspending its own rules to allow the Greeks to borrow against their vast store of junk-level debt!
It’s an embarrassing climbdown, made more embarrassing because it enables the markets to go after the debt of Spain, Portugal, Ireland, and Italy. The contagion that began with Greece will not end in anything but tears and more bailouts (upwards of $1 trillion may be needed).
Gorilla says: “M. Trichet’s bluff has been called by his own banks!”
