Recovery Failure in Spain and Italy.
The Milan Index MIB
Its highest ever point was 44 364 on the week of 14 May 2007
Its lowest ever was 12 895 on the week of 2nd March 2009
Today 8 May ’12 13 936
So 3 solid years of hundreds of billions of Euros of Italian and European bank bail outs and the resultant austerity to pay for them and ….
Italy’s index is 1000 from the crisis low of ’09 and over 30 000 lower than the top. Some recovery!
The Spanish IBEX
Its highest ever point was 15 759 on the week of Nov ’07
Its crisis low was 7 815 in Mar ’09
Today 8 May ’12 7 006 Lower than the point of crisis. LOWEST EVER!
Another stellar data point to support the case that our leaders fully understand the nature of the bank debt crisis, are not at all blinded by ideology and are definitely implementing the right policies to sort out the banks and share the pain equitably.
Spain and Italy are the two that no bail out fund yet devised, or ever likely to be, can possibly bail out. Yet Spain is, as we speak, bailing out another of its larger banks, Bankia, which just piles yet more debt on to the public purse which the bankers will then conveniently forget was due to them and claim instead as further proof of the failures of welfare and social spending.
The Greek stock market is now down at lows not seen since 1992. Greek bank stocks have lost 97% of their value since ’07.
The medicine of save the banks and cut spending on everything and everybody else is…. what? The patient is dying. The doctors don’t give a shit.
The only good news from the day is this press release from the Greek Left coalition leader:
GREECE’S TSIPRAS SAYS WANTS INTERNATIONAL COMMISSION TO INVESTIGATE IF GREECE’S DEBT IS LEGAL
Now THAT would be epic. If it were to happen a lot of very dirty laundry would see the light of day and a lot of European and US banks and the polticians who have been bought by them (intellectually if not financially), would do everything within and without the law to prevent it.