“The one roaring trade for the start of 2014 has been euro-zone peripheral debt, with yields tumbling in the crisis-hit, debt-laded nations within the euro. The trouble is, it is going end in catastrophe. Right now, the PIGS — Portugal, Ireland, Greece and Spain — are flying. But that can’t last. Investors are taking a big bet that the euro-zone crisis is gradually being fixed, that yields will start to converge again across Europe, and the banking system will stabilize. They are wrong on each count. In reality, the fault lines in the system are growing worse, it is just that right now they are under the surface.”
http://www.marketwatch.com/story/bond-investors-will-find-out-that-pigs-cant-fly-2014-01-15
Related posts:
Large manufacturers begin moving production back to the United States
Bezos Paid a ‘Friendship Premium’ for the Washington Post
Estonia tells European Union to rely less on U.S.-based ‘cloud’ storage
Is eBay warming up to Bitcoin?
ICE formalizes plans for courthouse abductions of foreigners
U.S. Will Now Let in A Whole 2,000 Syrian Refugees Per Year
BOND New York Real Estate Will Accept Bitcoins as Payment
Researchers find sex cures migraines as well as medication
This Is What Happens When Citizens Get Fed Up Over Speed Cameras
Official: Cannes diamond heist actually nets $136M
Coerced Foreign Tax Compliance Is Killing American Jobs
Puerto Rico: Tropical Tax Haven for America's Super-Rich
China Confronts Mounting Piles of Unsold Goods
Photographers Can be Detained as Potential Terrorists Under Official LAPD Policy
Obama in crossfire as battle for control of the Fed heats up