Robbing Peter to pay Paul.
There is a report sitting out there since last week....not confirmed by anyone...that banks in the UK are quietly sitting on a $60 billion dollar mess themselves. They haven’t gone to the government yet....but it’s probably just a month or two away.
I’m guessing that France has several banks deep into debt....as does Italy.
At some point, if you don’t rush out now to ask for help....there just won’t be any more avenues of capital left except maybe Chinese banks.
So the act here...is to borrow to cover what other folks have borrowed, and been unable to pay. The odds of paying back the debt? Well...if you want credit to virtually disappear around a country, and business to suddenly drop by fifty percent....you have to continue this game.
It’s a pretty fair mess if you ask me.
Robbing Johann to pay Juan.