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Post by unlawflcombatnt on Mar 27, 2013 12:06:23 GMT -6
The Euro is down to $1.27 as of this writing. This marks a -6.5% decline in less than 2 months, following the $1.36 peak at the beginning of Feb 2013 The Cyprus bank confiscation has essentially killed Europe's "confidence fairy."
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Post by jeffolie on Mar 27, 2013 13:24:59 GMT -6
www.ritholtz.com/blog/wp-content/uploads/2013/03/graph.jpgUnemployment rates of the PIIGS Since 2007, these respective countries have seen their unemployment rates all skyrocket. Greece and Spain are leading the way, with U/R up more than a 300%. The PIIG states are a dangerous combination of corruption, low wages, and tax avoidance that makes their political situation volatile. Add high unemployment to a middle class that has been pressured by harsh economic conditions, and you have circumstances right for disruption. I am not a believer that Cyprus set the template for other European (read PIIG) deposit grabs, but it is becomes less unthinkable if the situation accelerates to the downside. More on this later . . . Source: Global Financial Data Ralph M Dillon March 26, 2013 www.globalfinancialdata.comwww.ritholtz.com/blog/2013/03/piigs-unemployment/
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