After a cursory look around the papers and listening to the radio the word for today is going to be “bloodbath”. The collapse of the euro seems imminent (David Campbell-Bannerman MEP gives it a couple of weeks max).
I hope Cameron and Osborne are keeping in touch via their Blackberries and are relaxing, confident in the knowledge that they’ve done as much as they possibly can to insulate Britain from the fall-out.
The FTSE is down 190 points already, it only opened forty-five minutes ago; all major British banks are down; the Far East is down; Australia is down; everything is down but still the blinkered politicians of the EC and the euro-zone are insisting that everything is fine. Someone will emerge from this very rich indeed as another huge transfer of wealth takes place.
I keep reading that it’s the return of the recession of 2008 but from what I can make out it never actually ended and this is just a continuation of the events triggered back in 2007 when Lehman’s first laid off 7000 workers prior to its collapse. I also keep reading that it’s the collapse of capitalism but the financial system we’ve had wasn’t capitalism, if it was then the banks would have been allowed to fail. It’s the regulatory processes put in place by socialist governments that have failed, so no more Lefty gloating please.
It isn’t going to be pretty but I still recommend getting the popcorn in, if you can afford it, and keeping an eye on Belgium, France and Germany.